Technical Market Outlook:
The GBP/USD pair has broken out from a narrow consolidation zone seen between the levels of 1.2869 - 1.2979 and made a new local low at the level of 1.2775. The immediate technical resistance is still seen at the level of 1.2869 and it should temporary stop any bullish attempts. The violation of this line had put bulls in control of the market and another wave up will develop. The intraday technical support is seen at the levels of 1.2786, 1.2768 and 1.2747. Momentum is weak and negative, which supports the short-term bearish outlook.
Weekly Pivot Points:
WR3 - 1.3253
WR2 - 1.3131
WR1 - 1.3027
Weekly Pivot - 1.2896
WS1 - 1.2795
WS2 -1.2660
WS3 - 1.2557
Trading Recommendations:
On the GBP/USD pair the main, multi-year trend is down, which can be confirmed by the down candles on the monthly time frame chart. The key long-term technical resistance is still seen at the level of 1.3518. Only if one of these levels is clearly violated, the main trend might reverse (1.3518 is the reversal level) or accelerate towards the key long-term technical support is seen at the level of 1.1903 (1.2589 is the key technical support for this scenario).
