FX.co ★ GBP/USD

TRADING CHART ON GBP/USD DAILY. The GBP/USD currency pair is currently in a downward trend, with notable support and resistance levels. The price has been unable to break through a strong resistance around 1.28871, indicating the strength of this resistance area. On the other hand, a crucial support level is around 1.25010, which is currently being tested by the price movement. If the price breaks through this support, it is likely that the bearish trend will continue towards the next support level around 1.22597. Additionally, the Moving Average (MA) indicator signals a bearish bias, with the MA50 falling below the MA200, forming a "death cross" pattern, which often suggests a persistent downtrend. The current market situation suggests that the downward trend is likely to continue unless there is a significant reversal in momentum. The supply and demand zones are clearly visible on the chart, with the blue area near the resistance level of 1.28871 indicating a supply zone where the price has experienced strong selling pressure in the past, and the blue zone near the support level of 1.25010 representing the demand area where the price is seeking support. If this demand zone fails to withstand the selling pressure, the price may fall further towards a lower level. The last candlestick shows strong seller dominance, with a large body and small shadows, indicating that the bearish momentum is still very strong. Based on this analysis, the strategy is to wait for the price reaction at the level of 1.25010, and if a breakout occurs downwards, a sell entry opportunity may arise with a target of 1.22597, with a stop loss placed above the minor resistance around 1.25850.You can consider a counter-trend buying opportunity with a target of 1.28871 resistance, although this is riskier as it goes against the primary trend. Hopefully, this assessment is helpful, and I'm open to discussions or input from everyone. Remain disciplined and prudent when making trading choices.