The 2h chart above shows a nice leading diagonal formation (or perhaps a series of 1st and 2nd waves). Based on the MACD/RSI divergences, I would expect price to correct sharply at this point to shake out weak long players.
There is plenty of support in the 1.79 zone:
- 1.7929: Weekly S1 support level
- 1.7914: 50% fib retracement
- 1.7911: Wave-iv low
I am guessing that the GBP/USD will not make a new trend low in the near future based on the large deficit-financed market bailout. Therefore, my stop will be below this level.