Price is bouncing in a descending parallel channel in the 4H time frame and has formed a bearish structure.
Currently, as you see on the chart, price is approaching to the yellow support zone around 1.2990 which has pushed the price to the upside for several times in the past.
Since the price structure is bearish and it is in a downtrend, I expect a drop on GBPUSD around (1.2990 - 1.2970), and if price breaks the yellow support zone and closes a bearish candle below this level, I expect more drop around 1.29
On the other side, if price gets rejected from the yellow zone, we can expect a push to the upside and a retest to the channel’s upper band around 1.31
Disclaimer: The views expressed are solely those of the author and do not represent the official position of Followme. Followme does not take responsibility for the accuracy, completeness, or reliability of the information provided and is not liable for any actions taken based on the content, unless explicitly stated in writing.
Leave Your Message Now