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FxWirePro: GBP/USD edges higher but outlook still bearish

• GBP/USD  gained some updise momentun  on Monday   but gains were limited  as the market awaited the upcoming release of the UK budget on Oct. 30.

• GBP/USD bulls are facing a critical test with the release of UK Finance Minister Rachel Reeves' first budget, which is anticipated to emphasize tax increases and spending cuts to tackle significant pandemic-era deficits.

• At GMT 15:45, the pair was trading up 0.22 percent  at 1.2990 ,rebounding from daily low.

• Technical signals are  strongly bearish as RSI is   at 42, daily momentum studies  5, 9 and 10 DMAs are trending down.

•   Immediate resistance is located at 1.2998( 11SMA), any close above will push the pair towards 1.3037(50%fib)

•  Strong support is seen at 1.2978(38.2%fib) and break below could take the pair towards 1.2899(23.6%  fib).

  Recommendation: Good to sell  around 1.3050, with stop loss of 1.3100 and target price of 1.2950

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