FX.co ★ Technical Analysis of GBP/USD for April 4, 2023

Technical Market Outlook:

The GBP/USD pair has made another higher high at the level of 1.2426 after the bulls managed to reverse from the level of 1.2273. The market reversed and broke above the intraday technical resistance seen at 1.2301. The intraday technical support is seen at the level of 1.2399. Any breakout below the key technical support levels ( 1.2181 - 1.2179 zone) will accelerate the correction pace towards the lower levels like 100 MA located at 1.2189. The market don a V-shape reversal and so did the momentum, so now the bulls are in control of the market.

Weekly Pivot Points:

WR3 - 1.23575

WR2 - 1.23233

WR1 - 1.23029

Weekly Pivot - 1.22891

WS1 - 1.22687

WS2 - 1.22549

WS3 - 1.22207

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