Hes Traders, GBP/USD has been unable to break the top trendline on the daily view. In my opinion for next week, GBP/USD will not be able to break this trendline, it may wick above it for a short time, but it will not completely break it. A complete break for me would be more than two 4-hour candles closing bullish. Another indication of a bearish move for me is the daily Fibonacci retracement, it is currently just above the 68% level. On the 4-hour chart, the currency is at the 78% level and also in a major resistance zone. This is the third time that the currency has attempted to break this zone, and I don't think that will happen if the USD is bullish.
My target profit zone would be the Fibonacci -27 level, as there is also a significant resistance/support zone there.
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We broke now under the trendline again and a main level. Another trade opportunity would now be to wait and look out for a retest on the main level or the trendline and then short it. Dollar looks bullish too.
@WassimAzhari1 If I understood your comment right, you think GBPUSD will be bullish over the next few months, right? I think if the Dollar makes a reversal GBPUSD will exactly be like my idea.
JoeChampion
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Good idea Pal!
NeptenFX
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@JoeChampion, Thanks budy! I hope I've the right view on it!