Technical Market Outlook:
The GBP/USD pair had made the recent low at the level of 1.2390 and the bounces are all very limited as the market participants await the UK PMI data scheduled for release later on today. The market is still under the bearish pressure and is slowly approaching the key technical support seen at 1.2352 - 1.2343. The intraday technical resistance located at 1.2444 is still intact, so after a reversal the next target for bears is seen at 1.2386 and 1.2352. The weak and negative momentum on the H4 time frame chart support the short-term bearish outlook for GBP as the potential Falling Wedge price pattern in progress on H4 time frame chart.
Weekly Pivot Points:
WR3 - 1.25323
WR2 - 1.24900
WR1 - 1.24662
Weekly Pivot - 1.24477
WS1 - 1.24239
WS2 - 1.24054
WS3 - 1.23631
Trading Outlook:
A Bearish Engulfing candlestick pattern on the Weekly time frame chart 100 pips away from the 61% Fibonacci retracement located at the level of 1.2778 might indicate the corrective cycle to the upside had been terminated. Any sustained breakout below the technical support at 1.2444 will be the first indication of stronger bearish pressure.
