GBPUSD is in a daily downtrend.
Breaking out of the edge-shaped downtrend could lead to a short-term upside near the daily supply zone.
This daily supply zone is a very strong resistance zone that can lead to a continuous daily downtrend.
However, if it breaks through this daily supply zone again and finds support near it, the daily supply zone becomes a strong support line, and if the uptrend continues, it could reach the weekly supply zone.
The weekly supply zone can also lead to a weekly downtrend with very strong resistance.
A strong retracement is expected in the weekly supply zone, and if supported by an uptrend that overcomes the retracement, it will become a pattern that can undergo a monthly correction process.
However, as GBPUSD is trapped in a daily, weekly downtrend, it will need a very strong momentum to continue rising.
Breaking out of the edge-shaped downtrend could lead to a short-term upside near the daily supply zone.
This daily supply zone is a very strong resistance zone that can lead to a continuous daily downtrend.
However, if it breaks through this daily supply zone again and finds support near it, the daily supply zone becomes a strong support line, and if the uptrend continues, it could reach the weekly supply zone.
The weekly supply zone can also lead to a weekly downtrend with very strong resistance.
A strong retracement is expected in the weekly supply zone, and if supported by an uptrend that overcomes the retracement, it will become a pattern that can undergo a monthly correction process.
However, as GBPUSD is trapped in a daily, weekly downtrend, it will need a very strong momentum to continue rising.
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The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.