Technical Market Outlook:

The GBP/USD pair has made a local low at the level of 1.2388 after the 50% Fibonacci retracement had been violated. The larger time frame trend remains up, but in the short-term the bears are in control of the market and the next target for them is located at the level of 1.2369 (61% Fibonacci retracement of the last wave up). Please notice, that the level of 1.2406 had been providing support for some time now, so any violation of this level will lead to a deeper sell-off towards 1.2369 and even 1.2165.

Weekly Pivot Points:

WR3 - 1.2855

WR2 - 1.2741

WR1 - 1.2613

Weekly Pivot - 1.2507

WS1 - 1.2367

WS2 - 1.2267

WS3 - 1.2125

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).