Technical Market Outlook:
The GBP/USD pair had broken below the trend line support around the level of 1.1916 and made a new local low at the level of 1.1791 as expected. The market conditions on the H4 time frame chart are extremely oversold, so a bounce from the level of 1.1760 is expected. The nearest technical resistance is seen at the level of 1.1890. The larger time frame trend (daily and weekly) remains down until further notice.
Weekly Pivot Points:
WR3 - 1.18835
WR2 - 1.18488
WR1 - 1.18267
Weekly Pivot - 1.18141
WS1 - 1.17920
WS2 - 1.17794
WS3 - 1.17447
Trading Outlook:
The Cable is way below 100 and 200 DMA , so the bearish domination is clear and there is no indication of down trend termination or reversal. The bulls has failed big time to continue the corrective cycle after a big Bearish Engulfing candlestick pattern was made on the weekly time frame chart last week. The next long term target for bears is seen at the level of 1.1410. Please remember: trend is your friend.
