Headwinds Amid Strong US Dollar, Lower BoE Rate Hike Expectation
The GBP/USD pair has experienced an upward bias, reaching a yearly high of 1.3160 and then pulling back to 1.2815, finding support at the 61.80% Fibonacci level at 1.2851. However, the price action formed a spinning-top candle followed by a bearish candle, indicating potential weakness.
The immediate resistance level is around 1.2906, marked by the recent high after the pullback. On the downside, the 78.6% Fibonacci retracement level at 1.2773 serves as a potential support zone.
By entering the trade at approximately 1.2851 and targeting the support level around 1.2773, we aim for a profit of about 78 pips, while our stop loss at 1.2906 limits potential losses if the trade goes against us.
TRADE IDEA DETAILS
CURRENCY PAIR: GBP/USD
CURRENT TREND: Upward Biased
TRADE SIGNAL: SELL
👉ENTRY PRICE: Approximately 1.2851
✅TAKE PROFIT: Around 1.2773
❌STOP LOSS: Near 1.2906
Based on the technical analysis and the current upward bias in the GBP/USD, we plan to execute a SELL trade. The entry price is set at approximately 1.2851, just below the support level. If the trade goes as planned, the take profit level is set at around 1.2773, near the 78.6% Fibonacci retracement level, where the pair might find additional support.
The immediate resistance level is around 1.2906, marked by the recent high after the pullback. On the downside, the 78.6% Fibonacci retracement level at 1.2773 serves as a potential support zone.
By entering the trade at approximately 1.2851 and targeting the support level around 1.2773, we aim for a profit of about 78 pips, while our stop loss at 1.2906 limits potential losses if the trade goes against us.
TRADE IDEA DETAILS
CURRENCY PAIR: GBP/USD
CURRENT TREND: Upward Biased
TRADE SIGNAL: SELL
👉ENTRY PRICE: Approximately 1.2851
✅TAKE PROFIT: Around 1.2773
❌STOP LOSS: Near 1.2906
Based on the technical analysis and the current upward bias in the GBP/USD, we plan to execute a SELL trade. The entry price is set at approximately 1.2851, just below the support level. If the trade goes as planned, the take profit level is set at around 1.2773, near the 78.6% Fibonacci retracement level, where the pair might find additional support.