GBPUSD - Long squeeze can lead to a rebound

May 12

GBPUSD is forming a bearish rally following a short squeeze and is testing support at 1.35000



The Dollar Index looks weak on the D1 chart, with bears applying pressure; however, intraday volatility depends on fundamental and geopolitical factors. The market has entered a correction phase since the session opened. The British pound is currently testing the support level of the trading range. A long squeeze is forming within the local bullish trend. The pound may bounce off the support formed by the range

Resistance levels: 1.358, 1.364
Support levels: 1.3512

A long squeeze, the formation of a reversal pattern, and price consolidation above key support could support a potential rise to 1.358

Best Regards, R. Linda!

May 12

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