GBP/USD –> Double Head and Shoulders PatternHello guys.
On the daily chart, we can clearly see two Head and Shoulders (H&S) formations shaping the market structure -> a larger green H&S and a smaller red H&S inside it.
🔹 Green Head and Shoulders
The green H&S pattern was already completed earlier, and its neckline has been broken to the upside, signaling the start of a potential medium-term bullish trend. The pattern’s measured target points toward the 1.3900 zone, which remains the broader bullish objective.
🔹 Red Head and Shoulders
Recently, a smaller red H&S pattern formed inside this structure. The head of the red pattern tested the Supply & Demand (S&D) zone that was created by the previous (green) H&S pattern.
The neckline of the red H&S, around 1.3542, is now a crucial bullish level. A confirmed breakout above this neckline would likely trigger a continuation move toward 1.36685, which is the projected target of the red pattern.
🔹 Key Levels to Watch
1.3542 → Breakout confirmation zone
1.36685 → Target of the red H&S pattern
1.3900 → Final target of the green H&S pattern
If price holds above 1.3542, the bullish structure remains valid, and momentum could strengthen toward 1.36685 and 1.3900 in extension.
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