Technical Market Outlook
The GBP/USD pair has hit 127% Fibonacci extension level located at 1.4209 and made a new local high at the level of 1.4218 before the rally was capped. The price retraced 50% of the last wave up and hit the level of 1.4112 as the result of the overbought market conditions. Strong and positive momentum supports the short- term bullish outlook for Pound with a target at the last swing high at 1.4223. There is no indication of a trend reversal yet as the key short-term demand zone is located between the levels of 1.4000 - 1.3965.
Weekly Pivot Points:
WR3 - 1.4356
WR2 - 1.4259
WR1 - 1.4177
Weekly Pivot - 1.4087
WS1 - 1.4011
WS2 - 1.3910
WS3 - 1.3836
Trading Recommendations:
The daily time frame chart show the breakout above the trend line resistance and a new swing high above the recent consolidation zone located around 1.4000. The momentum is strong and positive, so the up trend can be continued towards the next long-term target located at the level of 1.4222 (high from 24.02.2021).
