GBP/USD, Technical Analysis – H4

The potential for growth toward the resistance at 1.3420 remains intact as part of a “Bull Flag” pattern continuation. Afterwards, a significant downward correction is likely, driven by a fresh wave of supply and profit-taking by buyers.

Key Levels:

□ Resistance: 1.3420

□ Support: current consolidation lows

Primary Scenario:

Rise toward 1.3420 followed by a downside reversal.

Alternative Scenario:

Continued consolidation before a bullish breakout toward 1.3420.

Analyst Commentary:

The current setup allows for trading opportunities in both directions.