Overview :
- The GBP/USD pair continues moving downwards from the level of 1.3748 since last week.
- Today, the first resistance level is currently seen at 1.3748, the price is moving in a bearish channel now. According to the previous events, we expect the GBP/USD pair to trade between 1.3748 and 1.3605.
- So, the support stands at 1.3670, while daily resistance is found at 1.4200. Therefore, the market is likely to show signs of a bearish trend around the spot of 1.4200.
- Sell orders are recommended below the spot of 13748 with the first target at the level of 1.3670 and continue towards 1.3605 in order to test the weekly support 2 on the H1 chart.
- On the other hand, if the GBP/USD pair fails to break through the weekly pivot point level of 1.3796 today, the market will move upwards continuing the development of the bullish trend to the level 1.4001 (double top).
- New outlook :
- The price has been set below the strong resistance at the level of 1.3796, which coincides with the 38.2% Fibonacci retracement level.
- This resistance has been rejected several times confirming the downtrend. Additionally, the RSI starts signaling a downward trend.
- The pair will probably go down because the downtrend is still strong. Consequently, the market is likely to show signs of a bearish trend.
- So, it will be good to sell below the level of 1.3796 with the first target at 1.3670 and further to 1.3605 - 1.3536.
