This downward channel has been printing for around 4 months and is now reaching a point of resistance. After this large downward move we have seen 6 daily candles of consolidation on a large zone of support. If this channel continues a retest to the price of 1.23620 which is also the 61.8% Fibonacci retracement level might be the next significant move. For the other possibility, if this level is broken then this pair will move down to the next zone. But for that to happen from the current price GBPUSD would have to pick up some serious bear momentum.
Comment:
A strong bullish candle has broken the first demand zone. Waiting for the push to the next zone for any trade confirmations.
Comment:
Price has made its way back above the first demand zone and ultimately respected the downward channel.
