Overview:
The GBPUSD pair has been trading around the area of 1.2787 since yesterday.
Today, the level of 1.2787 represents a daily support in the H1 time frame.
The pair has already formed the minor resistance at 1.2873 and the strong resistance is seen at the level of 1.2974 as it represents the weekly resistance 1.
So, the major resistance is seen at 1.2974, while immediate support is found at 1.2787. If the pair closes below the weekly pivot point of 1.2873, the GBP/USD pair may resume its movement to 0.9799 to test the weekly support 1.
From this point, we expect the GBP/USD pair to move between the levels of 1.2873 and 1.2711.
Equally important, the RSI is still calling for a strong bearish market and the current price is below the moving average 100.
As a result, sell below the level of 1.2873 with targets at 1.2711 in order to form a double bottom. Next objective 1.2621.
However, stop loss should always be taken into account; accordingly, it will be beneficial to set the stop loss above the last bullish wave at the level of 1.3035.
Support and resistance levels :
R3: 1.3140R2: 1.3035R1: 1.2964PP: 1.2873S1: 1.2787S2: 1.2711S3: 1.2621