GBP/USD, Technical Analysis – H4
The overall structure remains bullish, as evidenced by consistently higher lows. However, the price action has also shown notable deterioration.
The overall structure remains bullish, as evidenced by consistently higher lows — a key hallmark of an uptrend. However, the price action has also shown notable deterioration, particularly with the break of the trend’s speed line. We are therefore at a critical juncture: buyers must summon sufficient strength for a fresh upward swing, or a sharp decline will likely follow, sweeping all liquidity below the current range. The key control support stands at 1.3340.
Key Levels:
□ 1.3340 – Primary control support
□ 1.3260 – Next downside target
Primary Scenario:
Continuation of consolidation above 1.3340.
Alternative Scenario:
Breakdown below 1.3340, targeting 1.3260.
Analyst Commentary:
Breakout trades below the 1.3340 support are considerably safer than market-price entries at current levels.
Nikolai Krishtopov is a Market Analyst at Investizo with more than 15 years of experience in the financial markets industry and over a decade of trading experience. His areas of focus include forex and crypto markets, technical analysis, intraday trading and market behaviour.