GBP/USD: Bullish Short-Term Move Towards Liquidity at 1.2700๐ Market Structure & Key Levels
GBP/USD is currently trading around 1.2650, sitting at a key demand zone while maintaining a bullish structure on the 4H timeframe. The pair has been showing signs of accumulation and could be setting up for a liquidity grab towards 1.2700 - 1.2708 before any potential reaction.
๐ Trade Setup: Bullish Bias Towards Liquidity Pool
BUY Entry Zone: 1.2640 - 1.2650
Target 1 (TP1): 1.2690 (Minor Liquidity Grab)
Target 2 (TP2): 1.2700 - 1.2708 (Institutional Resistance)
Stop Loss (SL): 1.2625 (Below Demand Zone & Fibonacci Support)
๐ Why Take This Trade?
โ๏ธ Bullish Structure Intact โ Price is above key moving averages (6 EMA, 24 EMA, 72 EMA), and the Supertrend remains bullish.
โ๏ธ Institutional Liquidity at 1.2700+ โ Major market players have orders sitting above this level, making it a prime target.
โ๏ธ Demand Zone & Fibonacci Support โ Price is reacting from 1.2640-1.2650, aligning with Fibonacci retracement and historical demand zones.
โ๏ธ Order Flow Confirms Strength โ Market depth shows strong buy-side interest at current levels, supporting a push higher.
๐ฐ High-Impact News to Watch
โ ๏ธ Fed Chair Powell Testimony (Feb 27, 2025) โ Powell's remarks on inflation and future rate hikes could bring volatility to GBP/USD. Any hints of a hawkish Fed stance may strengthen the USD, leading to potential pullbacks.
โ ๏ธ UK GDP Data (Feb 29, 2025) โ A weaker-than-expected print could weigh on GBP, while a positive surprise might fuel further upside.
๐ Final Thoughts: Trade Smart & Manage Risk!
Iโm keeping a close eye on the reaction at 1.2700-1.2708. Bulls have the upper hand, and liquidity above should get taken. Letโs see how price action unfolds!
๐ฅ Whatโs your bias? Drop your thoughts in the comments! ๐ฅ