Breakdown of the DEMAND level around 1.6770-1.6700 allowed a quick decline of the GBP/USD pair initially towards the price level of 1.6300 then 1.6130.
Through the previous two weeks, the GBP/USD pair established a congestion zone between the price levels of 1.6660 and 1.6550 when extensive bearish pressure was applied against price level of 1.6280 ( last week's lowest price level ).
On the other hand, the current DEMAND level to meet the pair is located around 1.6150 where a previous Triple-Top pattern is located on the daily chart. Thus, a good opportunity of reversal may exist.
As depicted on the chart, bearish breakout off the previous congestion zone 1.6530-1.6595 took place. Shortly after, projection target was reached around 1.6460.
The GBP/USD pair has been downtrending for almost 25 days. However, evident bearish momentum keeps pushing lower without significant bullish correction.
Price action should be watched carefully at retesting the price level of 1.6150. It's the current SUPPLY level to meet the pair.
Any bullish fixation above 1.6330 hinders the current steep down-trend allowing a bullish corrective move to take place towards 1.6430 and 1.6500 (significant Fibonacci Levels).
