Technical Market Outlook:
The GBP/USD pair has been seen moving lower after the failed attempt to rally higher and currently bears are approaching the 50% Fibonacci retracement level located at 1.2579. Moreover, the key technical support seen at the level of 1.2598 is being tested now. The weak and negative momentum on the H4 time frame chart support short-term bearish outlook for GBP, but the bulls keep trying to move up. The 50 and 100 MA will provide the dynamic resistance for bulls around the level of 1.2661 and 1.2719 if the up trend is resumed.
Weekly Pivot Points:
WR3 - 1.27656
WR2 - 1.27471
WR1 - 1.27367
Weekly Pivot - 1.27286
WS1 - 1.27182
WS2 - 1.27101
WS3 - 1.26916
Trading Outlook:
The 61% Fibonacci retracement located at the level of 1.2778 has been hit, but it does not indicate the corrective cycle to the upside had been terminated. Any sustained breakout above this level and a weekly candle close above it is needed to change the long-term outlook to bullish. The key long term level of technical support is seen at 1.2444. The next long-term target for bulls is seen at the level of 1.3160.
