Technical Market Outlook:
The GBP/USD pair has broken above the technical resistance located at the level of 1.2676 and made a new swing high at the level of 1.2698. Due to the extremely overbought market conditions on the H4 time frame chart, the market is now pulling back. The intraday technical support is seen at the level of 1.2623 and 1.2598. The strong and positive momentum on the H4 time frame chart supports the short-term bullish outlook for GBP.
Weekly Pivot Points:
WR3 - 1.26076
WR2 - 1.25904
WR1 - 1.25819
Weekly Pivot - 1.25732
WS1 - 1.25647
WS2 - 1.25560
WS3 - 1.25388
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.
