Technical Market Outlook
The GBP/USD pair has bounced from the level of 1.3277, has been consolidating in a narrow range for some time and is currently testing the technical resistance seen around the level of 1.3352. Any violation of this level will open the road towards the technical resistance located at 1.3410 - 1.3428. The nearest technical support is seen at the level of 1.3306, so this level must not be violated again in order for the bounce to be successful. The positive momentum supports the short-term bullish outlook for the GBP, however it does not look like a trend change or down trend termination. Only a sustained breakout above the level of 1.3514 would change the outlook to more bullish.
Weekly Pivot Points:
WR3 - 1.3592
WR2 - 1.3524
WR1 - 1.3417
Weekly Pivot - 1.3347
WS1 - 1.3245
WS2 - 1.3173
WS3 - 1.3063
Trading Outlook:
The down trend on a larger time frame charts is being continued, but only a sustained breakout above the level of 1.3514 would improve the outlook to more bullish with a target at 1.4200. 200 WMA is located at the level of 1.3387 and might provide some temporary support for bulls.
