Technical Analysis of GBP/USD for July 20, 2020:

Technical Market Outlook:

The GBP/USD pair has been seen trading inside of the narrow consolidation zone located between the levels of 1.2482 - 1.2668 for all the last week and nothing has changed yet. The volatility has decreased and the momentum is hovering around the level of fifty, so no clues from this indicator either. Only a sustained breakout above or below certain level can provide a clue regarding the next market move.

Weekly Pivot Points:

WR3 - 1.2834

WR2 - 1.2735

WR1 - 1.2648

Weekly Pivot - 1.2555

WS1 - 1.2463

WS2 - 1.2373

WS3 - 1.2271

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