Technical Analysis of GBP/USD for 17/04/2020:

Technical Market Outlook:

The GBP/USD pair has fell out of the parallel channel and made a local low at the level of 1.2411. This last wave up has been made despite the overbought market conditions, but now the short-term trend line do not provide the support anymore so the market is coming off the overbought conditions. The bears are in control of the market and the next target for them is seen at the level of 1.2411 and 1.2350. The larger time frame trend remains up.

Weekly Pivot Points:

WR3 - 1.2914

WR2 - 1.2699

WR1 - 1.2595

Weekly Pivot - 1.2369

WS1 - 1.2287

WS2 - 1.2048

WS3 - 1.1960

Trading Recommendations:

The fear of the coronavirus consequences is very strong among the global investors and it rules on the financial markets. On the GBP/USD pair the main trend is down, but the reversal is possible when the coronavirus pandemic will be tamed. The key long-term technical support has been recently violated (1.1983) and the new one is seen at the level of 1.1404. The key long-term technical resistance is seen at the level of 1.3518. Only if one of this levels is clearly violated, the main trend might reverse (1.3518) or accelerate (1.1404).

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