The GBP/USD spiked strongly after UK PM Theresa May’s speech and currently it is aiming for 1.2490-1.2510. Daily chart is showing a version of rising three methods so the pair is still bullish. 4h close or 1h momentum above 1.2445 is needed and the pair might get to the POC zone -1.2490-1.2510. However, we also see bearish divergence so once the pair hits the POC zone (bearish divergence, bearish order block, H5, ATR pivot) it might initially drop. Rejections from POC or any failures to break and close above 1.2445 could bring the pair down towards 1.2400 and 1.2360. 1.2270 is the strong support and it needs to break in order for bears to gain control again.
However, If the pair fails to reject from POC zone, pay attention to 1.2535. If it breaks to the upside next target should be 1.2570.
Daily technical analysis is written by Nenad Kerkez, a senior analyst at Admiral Markets