Technical Market Outlook:
The GBP/USD has made a correction towards the level of technical support located at 1.2580, but this level was violated already. The move down is the biggest drop in the whole wave up, so we can label it as price overbalance. If the bears keep pushing, then the next target is seen at the level of 1.2485 - 1.2466 zone, which is inside of the main channel zone. The market conditions are now oversold at the H4 time frame, but the weak and negative momentum supports the short-term bearish outlook. Please keep and eye on the price developments at the technical support level.
Weekly Pivot Points:
WR3 - 1.3258
WR2 - 1.2986
WR1 - 1.2861
Weekly Pivot - 1.2596
WS1 - 1.2454
WS2 - 1.2189
WS3 - 1.2084
Trading Recommendations:
On the GBP/USD pair the main trend is down, but the local up trend continues. The key long-term technical support has been recently violated (1.1983) and the new one is seen at the level of 1.1404. The key long-term technical resistance is seen at the level of 1.3518. Only if one of these levels is clearly violated, the main trend might reverse (1.3518) or accelerate (1.1404). The market might have done a Double Top pattern at the level of 1.2645, so the price might move lower in the longer-term.
