GBP/USD – Bearish Structure Remains Intact as Price Rejected at

GBP/USD – Bearish Structure Remains Intact as Price Rejected at Key Supply Zone (H1 Analysis)
GBP/USD continues to respect the broader downtrend on the H1 timeframe. The market has formed a series of clean lower highs and lower lows, confirming that bearish momentum is still dominant.
Recently, price retested the short-term supply zone but failed to break through, signaling exhaustion from buyers and reaffirming the bearish bias. The harmonic swings drawn on the chart illustrate a consistent downward rhythm, aligning with the overall trend.

Key Technical Levels
Major resistance: 1.31450 – 1.31600 (higher supply zone)
Immediate resistance: 1.30980 – 1.31040
Short-term support: 1.30500 – 1.30420

Market Structure Insight
Price is producing a clear pattern of lower highs, indicating strong sellers at every pullback.
The recent rejection at the mid-range supply confirms limited bullish strength.

Momentum indicators (EMA compression, candlestick behavior) support a potential continuation to the downside.
Price action shows a tightening consolidation right beneath resistance, often a precursor to a bearish break.

Trading Scenarios
1. Sell Continuation Setup (High Probability)
Entry zone: 1.30980 – 1.31040
Stop-loss: Above 1.31140

Targets:
TP1: 1.30700
TP2: 1.30450 (main target)
TP3: 1.30200 (extended target if momentum increases)

Rationale:
The market is reacting to supply and remains aligned with the bearish trend, making continuation trades the most efficient.

2. Buy Scenario (Low Probability)
Only consider long positions if price breaks and closes above 1.31140
Targets: 1.31300 – 1.31500
SL: below 1.30950

3. Breakout Plan
Below 1.30420: Strong bearish momentum may accelerate toward 1.30000
Above 1.31600: Signals a major shift in market structure

GBP/USD remains bearish unless the upper resistance is broken decisively. Sellers continue to dominate, and short setups aligned with the trend offer the best probability.