FX.co ★ Technical Analysis of GBP/USD for March 1, 2022

Technical Market Outlook

The GBP/USD pair has made a massive reversal candlestick on H4 time frame chart after hitting the level of 1.3277, but is still trading around the 38% Fibonacci retracement level. The oversold market conditions and increasing momentum support the short-term bullish market outlook. The next target for bulls is seen at 1.3457 (50% Fibonacci retracement), 1.3500 (61% Fibonacci retracement) and the immediate technical support is located at 1.3370.

Weekly Pivot Points:

WR3 - 1.3901

WR2 - 1.3765

WR1 - 1.3529

Weekly Pivot - 1.3404

WS1 - 1.3174

WS2 - 1.3022

WS3 - 1.2799

Trading Outlook:

The up trend is being continued, but the up move might be terminated due to the Shooting Star candlestick pattern made at the daily time frame chart at the level of 1.3717. The overall move from the level of 1.3170 looks like a V-shape reversal pattern, so in the long-term the trend might be about to change from the multi-month down trend to the up trend. Please keep an eye on the level of 1.3500, because any sustained breakout below this level will change the outlook back to the bearish again.