The GBP/USD pair successfully achieved its projection target around 1.6600 after the bullish breakout above 1.6252 took place on November 27.

Further bullish movement took place towards the recent high at 1.6666. However, bearish engulfing daily candlestick was expressed on Friday.

This brought the pair back below 1.6600 extending down to 1.6475 (the recent top on the daily chart).

On Friday, the pound sterling declined to its lowest level in two days against the US dollar ahead of a report from the UK which is expected to show slowing activity of the British economy in the past three months.

This week, bullish recovery is witnessed after testing the price zone of 1.6475-1.6500 corresponding to Demand zone between 50% and 61.8% Fibonacci levels of the bullish swing are between 1.6310 and 1.6666.

The price zone of 1.6475-1.6500 is the key zone of today's movement. Bullish fixation above which will enhance bullish momentum towards the recent high around 1.6660.

On the other hand, re-fixation below it will probably apply further bearish pressure towards 1.6400 then 1.6320.