Technical Analysis of GBP/USD for July 31, 2023

Technical Market Outlook:

The GBP/USD pair has reversed sharply from the local high made at the level of 1.2994 and is currently trading below the technical support seen at the level of 1.2797. Moreover, the bears managed to break below the 50 and 100 MA, so now they are in control of the market and their target is seen at the level of 1.2590 (swing low). The price is still below the moving averages, so the bounce was capped successfully and due to the weak and negative momentum, the outlook looks bearish in the short-term. The intraday technical support is seen at the level of 1.2762 and the intraday technical resistance is located at 1.2994.

Weekly Pivot Points:

WR3 - 1.28955

WR2 - 1.28754

WR1 - 1.28671

Weekly Pivot - 1.28553

WS1 - 1.28470

WS2 - 1.28352

WS3 - 1.28151

Trading Outlook:

The bulls keep continuing the up trend towards the key technical resistance located at the level of 1.3163 and a breakout above this level is needed to extend the up trend towards the last Weekly swing high seen at 1.4248. Only a sustained breakout blow the technical support seen at the level of 1.1775 would change the outlook to bearish.