General overview: GBP/USD remains cautious near the 1.3700 mark.US Treasury yields trade higher which supports USD. Negative equities point towards risk-off sentiment among investors. The towards the pair is falling back foot and trading towards the selling side in the market. The movement is toward the sell side in the market. The pair is touching the weekly lows 1.3971. The economy is at an “inflection point”, with accelerated output and job growth owing to the government’s support measures and a rapid vaccination program. The economy showed some signs of the recovery but on the slower point. The pair is falling below important measures in the chart. The pair formed the short term downward wings in the market a market finds the breakout level at 1.4188 and fall towards the downside in the market.
Technical analysis: From the technical point of view we can say that market sit towards the selling side in the market. On the hourly chart the market makes the downside trend and swings are toward the lower lows in the market. The bearish death crossover can be also seen in the market. The pair is below the strong EMA and SMA lines and creates the selling side in the market. The potential downside swings had been created in the market. The pair fined the breakout at the level 1.3917 in the chart and continues towards the downtrend in the market. On the 4 hourly chart market creates the rounding top in the chart and the strong support level is 1.3641 followed by 1.3591 and resistance level is 1.3741 followed by 1.3791. The RSI is also below the 50 level and creates the bearishness in the market along with MACD is also below the zero level gives us confirmation of the selling in the market.
Trade idea: Traders will move toward the sell side at level 1.3688 targets will be 1.3618 followed by 1.3578 and stop loss will be 1.3768
