GBPUSD: KEY MOMENT FOR POUND!

May 4, 2020

hey guys,

today be focused on GBPUSD!

on 4H the pair has reached key horizontal structure support.
moreover, the underlined support matches perfectly with a support line of a rising channel.
recent dodji candle and sideways movement during the last 4 hours leave us clues that the market reached a key decision point.

on 1H we see a narrow trading range and the side of the breakout will most likely determine the future direction of the pair.

in case of a bullish breakout of the range (1H candle close above) we will buy the pair expecting a slight pullback to 1.251 / 1.2566 levels,
with our stop below the range

in case of a bearish breakout of the range (1H candle close below), it will signify the violation of the rising channel and we will short the pair
expecting a movement to 1.237/1.232 levels with stop above the range.


I am still long-biased here but we should be prepared for both scenarios!

good luck!