GBP/USD Bulls Regain Control in Large Range

Dear traders, the GBP/USD completed the bearish ABC (green) as expected in the previous wave analysis at the key support zone (green lines). How far can the bullish bounce go?

1 hour chart

The GBP/USD could retest the resistance zone (red lines) again. This could be part of a larger range. A bullish 5 wave pattern (blue) remains valid as long as the price stays above the 100% Fibonacci level of wave 2 vs 1.

A break below support invalidates (red x) the bullish outlook and indicates a downtrend. A bullish bounce and break could confirm (green check) the scenario. The main target is the previous top.

Good trading,

Chris Svorcik

The analysis has been done with the help of SWAT method (simple wave analysis and trading)

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