Technical Market Outlook
The GBP/USD pair has retrace more than 38% of the last wave down and the bulls hit the level of 1.3604, which is the nearest technical resistance. The next target for bulls is the 50% Fibonacci retracement located at the level of 1.3628, but it looks like the bounce from the level of 1.3428 had been completed. The larger time frame trend remains up, but the corrective cycle might be more complex in price and time. Please notice the market is bouncing form the extremely oversold conditions and weak momentum just broke back below the neutral level of fifty.
Weekly Pivot Points:
WR3 - 1.3894
WR2 - 1.3796
WR1 - 1.3617
Weekly Pivot - 1.3523
WS1 - 1.3346
WS2 - 1.3245
WS3 - 1.3078
Trading Outlook:
The up trend on a larger time frame charts is being continued, but only a sustained breakout above the level of 1.4000 would improve the outlook to more bullish with a target at 1.4200. 100 DMA is located at the level of 1.3792 and 200 DMA is seen at 1.3846.
