Technical analytics

GBPUSD market technical outlook


Daily chart:

Upward correction has signs of damping, that signifies further development of overall downtrend. The utmost height of pullback seems to be the 1.2770 level (middle Bollinger band).


Locally bulls have met a very strong resistance at the pivot-level 1.2720, that can force the major to correct towards the middle Bollinger band (1.2648). But given trending ADX there is a probability of attempt to break above 1.2720, that would trigger movement to the 1.2770 level (red arrow).


We note two local support levels, that are capable to halt the development of downward correction. These are 1.2694 and 1.2669 (middle and lower Bollinger bands).


Main scenario: Decline towards 1.2694 and then growth towards 1.2770.

Alternative scenario: Deeper correction towards 1.2669 and then growth towards 1.2700.

Trading recommendations:

Seeking for local buy signals at the 1.2694 and 1.2669 levels