GBP/USD Weekly Outlook – Action Forex

GBP/USD’s fall from 1.3433 continued last week and there is no sign of bottoming yet. Initial bias stays on the downside this week for 100% projection of 1.3433 to 1.2842 to 1.3047 at 1.2456. Decisive break there will extend the fall from 1.3433 to 1.2298 cluster support zone. For now, risk will stay on the downside as long as 1.2713 resistance holds, in case of recovery.

In the bigger picture, a medium term top should be in place at 1.3433, and price actions from there are correcting whole up trend from 1.0351 (2022 low). Deeper decline is now expected as long as 55 D EMA (now at 1.2918) holds, to 38.2% retracement of 1.0351 to 1.3433 at 1.2256, which is close to 1.2298 structural support. Strong support should be seen there to bring rebound.

In the long term picture, as long as 1.2298 support holds, rise from 1.0351 long term bottom is expected to continue. But in any case, outlook is neutral at best as long as 1.4248 structural resistance holds.