GBPUSD has been bearish since long. Fundamentally, the Britons cannot afford a weak GBP. Therefore, in anticipation of this fundamental goal, we can understand that the market needs to start moving back up. We are looking at the H4 timeframe and the structure its forming. Right now, market has not broken the previous high of the market which is priced at 1.1440. This means, if this is broken, we will form a support from where, we will have a buying position. 

The descending trendline has broken out for buys. This breakout buy has been validated for the market and will continue moving up if we see another breakout buy on a lower timeframe. 

There is no retracement sign on this setup as we are looking at the breakout and retest of the resistance. 

The EMA 50 is still bearish. After the breakout sell on the EMA, the market was unable to retest the market. Therefore, there is an opportunity for the market to either breakout the EMA or retest and continue moving down. 

RSI is at 42. After breaking the resistance, the RSI will be at 50 which depicts the bullish region of the RSI. We will confluence the technical factors with other paremeters. 

GBPUSD priming for bull run

Sep 20 2022

Stop Loss -0.36%

Holding time 3hr

1.14232

Entry price

1.13825

Stop loss price