Technical Market Outlook:
The GBP/USD pair has retraced 61% of the last wave down as the bounce was capped at the level of 1.3779. Currently, the market is consolidating around this level in the overbought conditions, so a pull-back towards the level of 1.3705 is possible. The technical support is seen at the level of 1.3705 and 1.3668. Any violation of the level of 1.3807 will result in another wave up towards the recent swing high seen at the level of 1.3910. The momentum remains neutral-to-bullish, so please keep an eye on the news data that might trigger the move to the upside again.
Weekly Pivot Points:
WR3 - 1.4060
WR2 - 1.3923
WR1 - 1.3845
Weekly Pivot - 1.3712
WS1 - 1.3638
WS2 - 1.3495
WS3 - 1.3415
Trading Recommendations:
The weekly time frame chart still shows, that the up trend is still intact, however, the bears are very close to start a genuine correction. A sustained violation of the level of 1.3518 would trigger a bigger down move than a regular pull-back. When the corrective cycle is terminated, the up trend can be continued towards the next long-term target located at the level of 1.4222 (high from 24.02.2021).
