Technical Analysis of GBP/USD for July 14, 2020:

Technical Market Outlook:

The GBP/USD pair has made a Double Top price pattern at the level of 1.2668. Moreover, there is a Bearish Engulfing pattern made at the top of the rally as well, so the indication of the reversal is strong. The bears have managed to push the prices towards the level of 1.2542 already and this level is the key short-term technical support for the market. The momentum is weak and negative, so the next target for bears is seen at the level of 1.2484 - 1.2466.

Weekly Pivot Points:

WR3 - 1.2915

WR2 - 1.2796

WR1 - 1.2712

Weekly Pivot - 1.2585

WS1 - 1.2508

WS2 - 1.2378

WS3 - 1.2304

Trading Recommendations:

On the GBP/USD pair the main trend is down, which can be confirmed by the down candles on the weekly time frame chart. 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 these levels is clearly violated, the main trend might reverse (1.3518) or accelerate (1.1404). The market might have done a Double Top pattern at the level of 1.2645, so the price might move even lower in the longer-term.

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