Support – 1.4685, 1.4636, 1.4604
Pattern – Bullish break from symmetrical triangle, inverse head and shoulder
Pair’s break from symmetrical triangle formation yesterday along with a day end closing well above 1.4685 (100% Fib expansion of Feb low-Mar high-April low) indicates continuation of rally that began from the low of 1.3835.
Inverse head and shoulder formation neckline at 1.48 stands exposed and could be beached if the UK Q1 GDP is revised higher, in which case supply around 1.4850-1.4869 could be tested.
Meanwhile, overbought could make it difficult for the pair to take out 1.4777 (daily 200-MA), especially if the GDP print is kept unchanged.
On the lower side, support at 1.4663 could be put to test, under which 1.4636 stands as a major support, where fresh demand could be anticipated.