FX.co ★ GBP/USD

Analysis of the GBPUSD Chart: We talk about the present state of the GBP/USD currency pair's price behaviour study. The GBP/USD currency pair has seen a lot of activity today. Since yesterday's closing was similar to the previous day's level, I believe the price may steadily increase. I'll wait till the lowest point of the most recent daily candle (1.33794). I will undoubtedly start a trade if a head and shoulders pattern appears over a shorter time frame. Since I don't see the necessity to keep positions at 1.33534, I will close them. The retracement of half of the daily movement from yesterday's extreme is 1.34584, which is my profit-taking target. However, for this to happen, the pair has to break below the channel on the M15 time period. These types of channels are often brief, however this pair's ascending channel has persisted for a lengthy period of time. The worst-case scenario may be a flat exit, but I don't believe this is feasible. After Powell's latest speech, there was an increase from 1.33954, although I had anticipated that the rate adjustment would have occurred before to Powell's speech. But after the speech, there was another surge, which leads me to believe that the upswing is set to reverse. My first goal is a drop to 1.32954–1.33544 and maybe lower if the pound continues to weaken, even if I do not expect a complete pair reversal. The likelihood of a drop is high given that the Fed has dropped rates and the Bank of England is already doing so, with further cuts anticipated in the future. The ECB and the Bank of England may now begin reducing interest rates as needed after waiting for the Fed to do so. Therefore, a collapse followed by a correction is the most likely scenario.