Weekly reviews

GBPUSD technical outlook

GBPUSD

Weekly chart:

A downward break of bearish inside bar is recorded, that shows high chances for continuation of tendency for the pound quotes’ decline to the area of lower Bollinger band (1.2562).

At the same time market is settled at the strong dynamic support 1.2909 (middle Bollinger band) at this moment, that together with weak state of ADX may imply a delay at this area.

Expectations:

Main scenario: Upward bounce from the 1.2909 level towards 1.1300 and after that decline can be continued.

Alternative scenario: In case of break below the 1.2909 support, further decline towards 1.2562 will be triggered.

Trading recommendations:

  1. Looking for potential long-signals at the 1.2909 handle.

  2. Shorts to break 1.2909 in direction 1.2562.