Technical Market Outlook:
The GBP/USD pair has made another swing low at the level of 1.2109 as the down trend continues lower despite the extremely oversold market conditions on the Daily time frame chart . This is the 7th day in a row when the market makes a new swing low. The bears are still in charge of the market, which trades below the technical resistance and any rejection of the short-term technical resistance seen at the level of 1.2235 will extend the drop lower towards the level of 1.2100. The intraday technical resistance is seen at the level of 1.2123, 2166 and 1.2235 and the intraday technical support is seen at the level of 1.2109 (last swing low).
Weekly Pivot Points:
WR3 - 1.22741
WR2 - 1.22573
WR1 - 1.22486
Weekly Pivot - 1.22405
WS1 - 1.22318
WS2 - 1.22237
WS3 - 1.22069
Trading Outlook:
The bulls were rejected at 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. The weekly time frame chart shows the Bearish Engulfing candlestick pattern was made during the breakout attempt above the 1.3163, so now the bears are in charge of the market. Any sustained breakout below the technical support seen at the level of 1.1775 would dramatically increase the chances of another leg down towards the level of 1.1494.