? GBP/USD Triangle Offers Key Decision Zone and Fault Lines ?
Hi traders,
The GBP/USD has arrived at a key decision zone. The price reaction versus the support (blue) and resistance (red) trend lines will determine the direction of the breakout and intermediate trend.
GBP/USD
4 hour
The GBP/USD bullish breakout above the resistance trend line could indicate that price is in a potential wave 5 (light blue), although a break above the previous top is still needed. In that case a push towards the 1.30 round level and next zone of resistance is probable. A bearish breakout below the trend line and Fibs of wave 4 vs 3 however could indicate a bearish breakout and probable continuation of waves 5.
1 hour
The GBP/USD has either completed a bullish wave 4 (light blue) or a bearish wave 4 (purple). The triangle pattern is therefore critical. The breakout will help determine the next potential trend. A bearish breakout could either be a wave 3 or a wave C, which depends on how price responds to the previous bottom.
Good trading,
Chris Svorcik
Elite CurrenSea
