GBPUSD Longs from 1.25500 up towards 1.28500The current bias for GBPUSD this week is interesting, particularly as it has once again broken structure to the upside, enhancing the favourability of a bullish bias. At the current price, our focus as traders should revolve around how to capitalise on this development. Notably, there are two demand zones (11-hour and 3-hour) that triggered this impulsive upward movement.
Identifying these zones as my Points of Interest (POIs) for potential buys, I plan to wait for a pullback, influenced by its interaction with the previous 4-hour supply zone. Given the respectable reaction observed on Friday, I now anticipate a bearish push downward to address any imbalances left from the previous week. Subsequently, I expect a Wyckoff accumulation to unfold within our POIs, providing the opportunity to enter our buy positions.
Confluences for GBPUSD Buys are as follows:
- Price has just recently broke structure to the upside again validating a bullish bias.
- Lots of liquidity of still left above in the form of asian highs and trend line liquidity.
- Nice unmitigated demand zones left on the 11hr and 3hr (TF) that have caused the BOS.
- Dollar index is still very much so bearish as well and I'm expecting more downside.
- The price also responded to my 4-hour supply zone last week, and this event could serve as the catalyst for a retracement, paving the way for a new upward movement.
P.S. While the general bias for GBPUSD leans bearish, the consistent Breaks of Structure (BOS) strongly support the overarching downward trend of the dollar index. Presently, my focus is on identifying optimal bullish setups. However, if the price enters a significant supply level, I won't rule out the possibility of considering short-term sell positions. Let me know what you guys think of your GBPUSD overview, don't hesitate to drop a comment below !
