FX.co ★ Technical analysis of GBP/USD for 31.05.2019

Technical Market Overview:

The GBP/USD pair has made another lower low at the level of 1.2580 as the downtrend continues. The larger timeframe trend remains down, but there is the first sign of a possible trend reversal which is a Hammer candlestick pattern made at the recent low. In order to bounce or reverse the trend, the bulls would have to push the prices above the technical resistance at the level of 1.2647 and then 1.2683. Otherwise, the downtrend will continue with the nearest target at the level of 1.2500.

Weekly Pivot Points:

WR3 - 1.3009

WR2 - 1.2910

WR1 - 1.2801

Weekly Pivot - 1.2631

WS1 - 1.2607

WS2 - 1.2502

WS3 - 1.2401

Trading Recommendations:

The best strategy for the current market conditions is to sell the up move near the technical resistance around the level of 1.2755. The larger timeframe trend is still down, so the trade at the short term timeframe will be in line with the downtrend. The target for bears is seen at the level of 1.2500.