Technical Market Overview:
The GBP/USD pair has moved higher towards the technical resistance located at the level of 1.2556 and made a new local high at the level of 1.2577 while trying to rally even higher. Despite the shallow pull-back, the bulls are still trying to break through the descending trendline resistance around the level of 1.2577 as well, but so far no avail. The market conditions are now overbought, but the momentum is still positive, so if the bulls will make it, then ten the next target is seen at the level of 1.2591 and 1.2641.
Weekly Pivot Points:
WR3 - 12770
WR2 - 1.2670
WR1 - 1.2630
Weekly Pivot - 1.2528
WS1 - 1.2496
WS2 - 1.2396
WS3 - 1.2356
Trading recommendations:
The best strategy for the current market conditions is to follow the larger timeframe trend. The larger time frame trend is still down and there are no signs of any trend reversal. The key long-term technical support is seen at the level of 1.2420 and the key long-term technical resistance is seen at the level of 1.2775 and only if this level is violated, there is a chance for the trend reversal.
