Technical Market Outlook:
The GBP/USD pair has been seen continuing the down move and is currently approaching the Octobers low located at the level of 1.2036. The local low was made at the level of 1.2068 and during the pull-back the bulls were testing the 50 MA seen at 1.2129. The intraday technical resistance is located at 1.2152 and 1.2140. The momentum on the H4 time frame chart is weak and negative as well, so the breakout lower might happen any time soon. Please notice, that the mid-term outlook remains bearish due to the Bearish Cross of 50 and 100 DMA on the daily time frame chart.
Weekly Pivot Points:
WR3 - 1.21969
WR2 - 1.21748
WR1 - 1.21618
Weekly Pivot - 1.21527
WS1 - 1.21397
WS2 - 1.21306
WS3 - 1.21085
Trading Outlook:
The weekly time frame chart shows the Bearish Engulfing candlestick pattern was made during the breakout attempt above the 1.3163, so the bears are in charge of the market and they are pushing the price lower. The market already trades below 50 and 100 WMA. Any sustained breakout below the key long term technical support seen at the level of 1.1802 would dramatically increase the chances of another leg down towards the level of 1.1494.
