GBP/USD Price Analysis: Weekly marubozu suggests the bears are in control
- GBP/USD's weekly candlestick pattern is painting a bearish picture.
- The bears could challenge support below 1.28 in the near-term.
The path of least resistance for GBP/USD is to the downside.
The pair created a big red marubozu candle last week, which comprises a long body and little or no shadows, a sign the bears remained in control from the start to finish.
It is reflective of strong bearish sentiment and often precedes notable price sell-offs.
Last week's marubozu candle also marked a downside break of the support at 1.2904 (December low).
That alongside the below-50 or bearish reading on the 14-day relative strength index suggests scope for a deeper slide to 1.2769 (November low).
Currently, the pair is trading at 1.2913, having defended the 50-day average on Monday. The bounce from key average could be short-lived, as the weekly chart is reporting strong bearish conditions.
The bearish bias will be invalidated only if the pair ends the current week above the previous week's high of 1.3201.