Technical analysis of GBP/USD for 16/05/2019:

Technical Market Overview:

The downtrend at the GBP/USD pair continues and consecutive lower lows are being made. The price has violated the technical supports at the levels of 1.2939, 1.2875 and 1.2865 and made a new local low at the level of 1.2825. Despite the oversold conditions, this is not the end of the down move as the target is seen at the level of 1.2788.

Weekly Pivot Points:

WR3 - 1.3288

WR2 - 1.3229

WR1 - 1.3095

Weekly Pivot - 1.3031

WS1 - 1.2885

WS2 - 1.2821

WS3 - 1.2676

Trading Recommendations:

The market is moving below the trendline, so the best trading strategy for daytraders is to open the sell orders during the local pull-backs. After the targets at the levels of 1.2875 and 1.2865 had been hit, the current target is seen at the level of 1.2788. Please pay attention to the price action signs of reversal and candlestick patterns at the range support and range resistance to confirm the level for the trading position.

analytics5cdcf3e7874ca.jpg

The material has been provided by InstaForex Company - www.instaforex.com