? GBP/USD Bullish Breakout Testing 78.6% Fib at 1.32 ?

2 min read

Hi traders,

The GBP/USD is showing a bullish continuation after breaking above the resistance trend line (dotted red) but price is now approaching deeper Fibonacci retracement levels that could act as potential resistance.

GBP/USD

4 hour


The GBP/USD is probably in a wave 1-2 (purple) pattern, although the 5 waves within wave 1 (purple) are not that clear and could also be an ABC pattern. A break above the 100% Fibonacci level invalidates the wave 1-2 (purple) and indicates that a wave 4 (pink) is still ongoing whereas a break below the support trend line (blue) indicates a bearish breakout.

1 hour


The GBP/USD seems to be building an ABC (green) pattern within wave 2 (purple). The Fibonacci retracement levels of wave 2 (purple) are key levels for a bearish bounce or reversal.

Good trading,
Chris Svorcik
Elite CurrenSea

Leave a Reply

avatar

This site uses Akismet to reduce spam. Learn how your comment data is processed.

  Subscribe  
Notify of