Technical Market Outlook:
After the Pin Bar candlestick pattern at the top of the move up at 1.2645, the GBP/USD pair has fell out of the parallel channel. This last wave up has been made despite the overbought market conditions, but on strong and positive momentum, but now the short-term trend line do not provide the support anymore so the market is coming off the overbought conditions. The bears are in control of the market and the next target for them is seen at the level of 1.2411 and 1.2350. The larger time frame trend remains up.
Weekly Pivot Points:
WR3 - 1.2914
WR2 - 1.2699
WR1 - 1.2595
Weekly Pivot - 1.2369
WS1 - 1.2287
WS2 - 1.2048
WS3 - 1.1960
Trading Recommendations:
The fear of the coronavirus consequences is very strong among the global investors and it rules on the financial markets. On the GBP/USD pair the main trend is down, but the reversal is possible when the coronavirus pandemic will be tamed. The key long-term technical support has been recently violated (1.1983) and the new one is seen at the level of 1.1404. The key long-term technical resistance is seen at the level of 1.3518. Only if one of this levels is clearly violated, the main trend might reverse (1.3518) or accelerate (1.1404).
