Technical Market Overview:
The GBP/USD pair keeps trading inside of the narrow range located between the levels of 1.2765 - 1.3012 and there is no signal for any reversal or any breakout yet. The bulls still seem to be unable to break through the wall of technical resistance levels located from 1.2939 to 1.3012, so the range bounded trading in consolidation continues. The momentum is now negative due to the market coming off the overbought conditions, which will not help the bullish case. The larger timeframe trend remains down.
Weekly Pivot Points:
WR3 - 1.3071
WR2 - 1.3026
WR1 - 1.2910
Weekly Pivot - 1.2886
WS1 - 1.2750
WS2 - 1.2708
WS3 - 1.2590
Trading Recommendations:
The best strategy for current market conditions is to trade with the larger timeframe trend, which is down. All upward moves will be treated as local corrections in the downtrend. In order to reverse the trend from down to up, the key level for bulls is seen at 1.3012 and it must be clearly violated. The key long-term technical support is seen at the level of 1.2231 - 1.2224 and the key long-term technical resistance is located at the level of 1.3509. As long as the price is trading below this level, the downtrend continues towards the level of 1.1957 and below.
