Technical Market Outlook:
The GBP/USD pair has mover towards the technical support located at the level of 1.2406 and made a local low at the level of 1.2388. It looks like the rally to the north was corrective in nature and the break out from the channel zone was false, so the price is now consolidating in a narrow zone. Please notice, that to break out from the short-term descending channel zone, the bull would have to violated the level of 1.2580, which is the key short-term technical resistance for the price. The next target for bears are seen at the levels of 1.2362 and 1.2328.
Weekly Pivot Points:
WR3 - 1.2859
WR2 - 1.2772
WR1 - 1.2508
Weekly Pivot - 1.2419
WS1 - 1.2165
WS2 - 1.2080
WS3 - 1.1826
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.
