GPBUSD, Bearishness Likely To Continue When This Happens!

Hi my friends,

Welcome to this analysis we are looking at GBPUSD 12-hour timeframe perspective which recently confirmed the awaiting bearishness to the downside as the top-formation has built this was the expected price action here, now the pair has found some support in the smaller timeframes nevertheless the bearishness on the higher timeframes established has still a strong edge with a higher possibility to continue further when certain mechanisms setting in, therefore I detected the important levels and possible outcomes we should consider at the moment.

Looking at my chart you can watch the pair now trading below important levels, which is firstly the 35-EMA in grey and secondly the first blue rising trendline which now broken to the downside and confirmed bearish pressure, the next times we can expect the pair to test some higher levels in the structure which will be crucial as it has resistance firstly with the 35-EMA and secondly with the rising red trendline building a coherent resistance-cluster there which can be the source of the next heavy bearish move to the downside, this move will firstly lead to the next remaining support which is the 800-EMA marked in green in my chart where the pair can bounce and form a possible stabilization, this, however, is currently not the most possible outcome as the bearishness is just to strong, therefore a break below the 800-EMA can be taken into consideration which can move on to further bearishness, till this happens it is important to measure the price action coming across and how price will react into the 800-EMA.

Overall the pair has established a strong bearish pace here which has solid potential to continue, therefore it has to be anticipated how long this will go and if there can be a stabilization in the range or further bearishness will follow up with, on the more long term the second dashed blue trendline is highly important to hold considering a bullish stabilization, when the price falls below this line bear-market is highly likely to continue with more pressure.

In this manner, thank you for watching, support for more market insight, good day to you and all the best!
"If you have the conditions, you get the results."

Information provided is only educational and should not be used to take action in the markets.

Comment:

ANALYSIS UPDATE: GBPUSD pulled bearishly back off the major resistance-cluster to increase with bearish momentum moving into the final short-side target-zones.