Technical Market Overview:
The GBP/USD pair rally has been terminated at the level of 1.3512 and since then the market is developing the corrective structure to the downside. Currently, the price has hit the support zone located between the levels of 1.2939 - 1.3039 and is testing this zone in oversold market conditions. The momentum is still weak and negative, but some kind of a bounce might occur soon with a target at the level of 1.3101.
Weekly Pivot Points:
WR3 - 1.3654
WR2 - 1.3526
WR1 - 1.3206
Weekly Pivot - 1.3091
WS1 - 1.2763
WS2 - 1.2640
WS3 - 1.2325
Trading Recommendations:
The best strategy for current market conditions is to trade with the larger timeframe trend, which is up. All downward moves will be treated as local corrections in the uptrend. In order to reverse the trend from up to down, the key level for bulls is seen at 1.2756 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.
