Technical Analysis of GBP/USD for September 10, 2021

Technical Market Outlook

The GBP/USD pair has been seen testing the lower channel line around the level of 1.3855, but the bulls are still not back inside the channel. The supply zone was the key zone for bears, so if the bulls will break higher above the supply zone, then the next target is seen at the level of 1.3965. The momentum is now positive and the market conditions are not overbought yet, so the bulls still have a chance to move higher. This scenario is valid as long as the 61% Fibonacci retracement seen at the level of 1.3711 is not violated.

Weekly Pivot Points:

WR3 - 1.4098

WR2 - 1.3994

WR1 - 1.3935

Weekly Pivot - 1.3824

WS1 - 1.3775

WS2 - 1.3669

WS3 - 1.3816

Trading Outlook:

The weekly time frame chart still shows, that the up trend is still intact and the corrective wave had terminated at the level of 1.3571. Only a sustained violation of the level of 1.3518 would trigger a bigger down move than a regular pull-back. The up trend can be continued towards the next long-term target located at the level of 1.4246 (high from 24.02.2021).