GBPUSD Forecast:

CCI warning about potential downside pullback was proved to be a fact yesterday. However, I must admit that the bearish pullback was much stronger than I had expected. Price fell significantly, break below 1.6600, bottomed at 1.6466 and closed at 1.6497. On h4 chart below, the trendline support (red) which did a good job prevented further bearish pressure and brought price peaked at 1.6744 on Wednesday was broken yesterday indicating potential technical bearish targeting 1.6250 area. The bias is bearish in nearest term at least targeting 1.6330 area but direction is unclear for me in longer term. The situation can be very tricky so do not rush jumping into the market. Immediate resistance at 1.6550 area. Break above that area should trigger further bullish momentum.

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