GBP/USD: Time to Ride the Bear Train?
GBP/USD: I can see that we're trading below the 21 EMA on both the weekly and daily timeframes, indicating that the bears still have control. On the weekly, price is rejecting a critical level around 1.30992, with a continuation of bearish momentum heading toward the next key weekly support at 1.27575. This makes me lean towards a bearish bias in the medium term.
On the daily, we see the price approaching that same support zone around 1.27575 with some room for a retracement. The 4-hour chart shows price action consolidating and potentially setting up for another move to the downside. What we want to look for here is a clean break below 1.2975 or a retracement to around 1.3058 to possibly reenter for a sell.
With this setup, I’d be looking to get in between 1.2980 and 1.3000 on a lower timeframe confirmation, targeting the weekly support of 1.27575. Make sure you stay patient and let the trade come to you.
On the daily, we see the price approaching that same support zone around 1.27575 with some room for a retracement. The 4-hour chart shows price action consolidating and potentially setting up for another move to the downside. What we want to look for here is a clean break below 1.2975 or a retracement to around 1.3058 to possibly reenter for a sell.
With this setup, I’d be looking to get in between 1.2980 and 1.3000 on a lower timeframe confirmation, targeting the weekly support of 1.27575. Make sure you stay patient and let the trade come to you.
Sheena Lynne
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