Technical Market Outlook:
The GBP/USD pair has hit the level of 1.3169 after the rally from the base level seen at 1.2925. All the technical resistance levels had been violated and now they will act as a support: 1.3121, 1,3081 and 1.3059. The momentum is strong and positive, but the market conditions are now overbought on the H4 time frame chart, so a pull-back towards the support is expected before another wave up will unfold. The next target for bulls is seen at the level of 1.3264.
Weekly Pivot Points:
WR3 - 1.3222
WR2 - 1.3147
WR1 - 1.3005
Weekly Pivot - 1.2924
WS1 - 1.2790
WS2 - 1.2718
WS3 - 1.2567
Trading Recommendations:
On the GBP/USD pair the main, multi-year trend is down, which can be confirmed by the down candles on the monthly time frame chart. The key long-term technical resistance is still seen at the level of 1.3518. Only if one of these levels is clearly violated, the main trend might reverse (1.3518 is the reversal level) or accelerate towards the key long-term technical support is seen at the level of 1.1903 (1.2589 is the key technical support for this scenario).
