FX.co ★ Technical Analysis of GBP/USD for November 1, 2023

Technical Market Outlook:

The GBP/USD pair has been seen testing the 61% Fibonacci retracement located at the level of 1.2201, but the Bearish Engulfing candlestick pattern was made at the top of the move, so the bears pushed the price back towards the 50 MA on the H4 time frame chart. The intraday technical resistance is located at 1.2201 and the intraday technical support is seen at 1.2118. The momentum on the H4 time frame chart is back above the level of fifty, so bulls are temporary in control of the market. Please notice, that the mid-term outlook remains bearish due to the Bearish Cross of 50 and 100 DMA on the daily time frame chart.

Weekly Pivot Points:

WR3 - 1.21462

WR2 - 1.21306

WR1 - 1.21244

Weekly Pivot - 1.2115

WS1 - 1.21088

WS2 - 1.20994

WS3 - 1.20838

Trading Outlook:

The weekly time frame chart shows the Bearish Engulfing candlestick pattern was made during the breakout attempt above the 1.3163, so the bears are in charge of the market and they are pushing the price lower. The market already trades below 50 and 100 WMA. Any sustained breakout below the key long term technical support seen at the level of 1.1802 would dramatically increase the chances of another leg down towards the level of 1.1494.