In December, the price levels of (1.3380-1.3400) have prevented further bullish movement for a few weeks.Bearish target was projected towards 1.3300. However, the pair has failed to pursue towards lower targets.
Instead, a bullish spike was expressed towards 1.3480-1.3500 where the upper limit of the depicted movement channel has previously provided bearish pressure on the pair.
Shortly after, another bullish spike has recently been demonstrated towards 1.3600 where the upper limit applied considerable bearish rejection again.Recently, the GBPUSD pair looked overbought while consolidating above the key-level of 1.3400.
As expected, bearish reversal was recently initiated around 1.3600. A quick bearish decline was demonstrated towards 1.3200.
However, the GBP/USD pair has failed to maintain bearish decline below 1.3200 in the previous attempt. Instead, bullish persistence above 1.3400 invalidated the bearish scenario for the short-term.
Another temporary bullish movement is being expressed to test the previous WEEKLY High around 1.3700. Further upside movement is expected towards the upper limit of the current movement channel around 1.800 where bearish rejection and a possible SELL Entry are suggested.
Intermediate-term outlook can turn into bearish if only the EUR/USD pair could break below and maintain movement below 1.3400. If so, a quick bearish decline initially towards 1.3200-1.3150 would be expected.
*The market analysis posted here is meant to increase your awareness, but not to give instructions to make a trade.
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