Technical Analysis of GBP/USD for October 4, 2021

Technical Market Outlook:

The GBP/USD pair is still in the down trend and the swing low was made last week at the level of 1.3410. The key short-term technical support located at the level of 1.3516 had been violated as well, but no weekly or monthly candle close occurred yet. Any violation of this level would likely deepen the down move towards the level of 1.3000 or below. However, on the short-term time frames, the bulls are trying to break through the local technical resistance located at 1.3571 as the market is bouncing from the extremely oversold conditions. The nearest technical support is seen at 1.3519.

Weekly Pivot Points:

WR3 - 1.4014

WR2 - 1.3865

WR1 - 1.3697

Weekly Pivot - 1.3546

WS1 - 1.3375

WS2 - 1.3218

WS3 - 1.3052

Trading Outlook:

The weekly and monthly time frame chart show a breakout below the key technical support located at 1.3516, so now the bears are in total control of the market. The next target for bears is seen at the level of 1.3174. The levels of 1.3408 and 1.3371 might give some support for bulls as they are 55 and 200 weekly moving average levels.