Technical Market Outlook:
The GBP/USD market had found a temporary bottom at the level of 1.2410 and is currently trying to bounce higher, so a pull-back might be still on table. The level of 1.2494 is a 61% retracement level of the whole post-Covid rally on the weekly time frame chart and it might be the target for bulls. The nearest technical resistance is located at 1.2648 and 1.2686, but despite the oversold market conditions on the H4 and Daily time frame charts, the down trend continues and there is no indication of trend termination or reversal just yet. The bearish pressure continues and the last week low might be tested again soon.
Weekly Pivot Points:
WR3 - 1.3200
WR2 - 1.3027
WR1 - 1.2781
Weekly Pivot - 1.2594
WS1 - 1.2347
WS2 - 1.2171
WS3 - 1.1921
Trading Outlook:
The price broke below the level of 1.3000, so the bears enforced and confirmed their control over the market in the long term. The Cable is below 100 and 200 WMA already, so the bearish domination is clear. The next long term target for bears is seen at the level of 1.2494 (61% retracement level of the whole post-Covid rally), so if this level is violated, the down trend will extend lower. Please remember: trend is your friend.
