Technical Market Outlook:
The GBP/USD pair has made a new local low at the level of 1.2313, so the 1:1 market geometry targets has been hit. The bounce from the level of 1.2328 is targeting the nearest technical resistance located at the level of 1.2406, but the key short-term resistance is still seen at the level of 1.2466. Despite the oversold market conditions, the momentum remains weak and negative as the RSI indicator hovers below its fifty level. The larger time frame trend remains bullish.
Weekly Pivot Points:
WR3 - 1.2667
WR2 - 1.2600
WR1 - 1.2441
Weekly Pivot - 1.2377
WS1 - 1.2213
WS2 - 1.2143
WS3 - 1.1969
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.
