Technical Analysis of GBP/USD for February 27, 2023

Technical Market Outlook:

The GBP/USD pair has been seen trading below the 50 and 100 MA, so the market is under the bearish control as the price is heading towards the last week low seen at 1.1914. The level of 1.2193 and 1.2272 will now act as a technical resistance as well, so a breakout above this level of needed in order to rally higher. The intraday technical resistance is seen at 1.1985. The momentum is weak and negative, so the sell-off will likely extend towards the level of 1.1840, which is the key short-term technical support. Please be aware of the 50 MA and 100 MA bearish cross on the H4 time frame as well.

Weekly Pivot Points:

WR3 - 1.20526

WR2 - 1.20024

WR1 - 1.19825

Weekly Pivot - 1.19522

WS1 - 1.19323

WS2 - 1.19020

WS3 - 1.18518

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 th potential target for bears is seen at the level of 1.1840 or below.