The GBP/USD pair has made another higher high at the level of 1.2524 as the up trend continues. The intraday technical support is seen at the level of 1.2422. Nevertheless, the last push to the new swing highs had produced a Pin Bar candlestick pattern on the H4 time frame chart as the market conditions on this time frame are now extremely overbought, so now the Cable started the pull-back cycle. Pull-back target is seen at the level of 1.2422 – 1.2394. When the pull-back is completed, the market should resume the uptrend towards new swing highs.
Weekly Pivot Points:
WR3 – 1.23575
WR2 – 1.23233
WR1 – 1.23029
Weekly Pivot – 1.22891
WS1 – 1.22687
WS2 – 1.22549
WS3 – 1.22207
Trading Outlook:
So far the level of 1.2443 was too strong resistance to break through, so a potential Double Top price pattern is still in play. Moreover, the level of 1.2297 which is 50% Fibonacci retracement level of the last big wave down had been hit, so the bears resumed the down trend. The down trend was confirmed with the level of 1.2089 breakout (50 WMA), so now the potential target for bears is seen at the level of 1.1840 or below.
The material has been provided by InstaForex Company – www.instaforex.com
Technical Market Outlook:
The GBP/USD pair has made another higher high at the level of 1.2524 as the up trend continues. The intraday technical support is seen at the level of 1.2422. Nevertheless, the last push to the new swing highs had produced a Pin Bar candlestick pattern on the H4 time frame chart as the market conditions on this time frame are now extremely overbought, so now the Cable started the pull-back cycle. Pull-back target is seen at the level of 1.2422 – 1.2394. When the pull-back is completed, the market should resume the uptrend towards new swing highs.
Weekly Pivot Points:
WR3 – 1.23575
WR2 – 1.23233
WR1 – 1.23029
Weekly Pivot – 1.22891
WS1 – 1.22687
WS2 – 1.22549
WS3 – 1.22207
Trading Outlook:
So far the level of 1.2443 was too strong resistance to break through, so a potential Double Top price pattern is still in play. Moreover, the level of 1.2297 which is 50% Fibonacci retracement level of the last big wave down had been hit, so the bears resumed the down trend. The down trend was confirmed with the level of 1.2089 breakout (50 WMA), so now the potential target for bears is seen at the level of 1.1840 or below.
The material has been provided by InstaForex Company – www.instaforex.com
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