Technical outlook:
The GBP/USD pair also staged an impressive rally last week and followed through with another high yesterday at the 1.3158 levels before pulling back lower. The pair is seen to be trading around the 1.3090 levels for now and has found interim support at the 1.3080 levels (fibonacci 0.382). There is still room to drop through the 1.3035/40 levels, before resuming its rally further. Please note that the 1.3035/40 levels is the past resistance turned support zone and Fibonacci 0.618 support is also seen around the same region. A bounce there should take the prices higher toward the 1.3300 levels, at least. Only if the prices break below the 1.2960 levels, last week's low, the current bullish scenario would be nullified. High probability direction from here is a rally ahead.
Trading plan:
Initiate fresh long positions around 1.3040/50, stop at 1.2950, target at 1.3300, at least.
Fundamental outlook:
There are no major events lined up for the day.
Good luck!
The material has been provided by InstaForex Company - www.instaforex.com