GBPUSD - MTFA! - Weekly Trendline Bounce - Price Action Behavior

Hi Traders!
The market is in a longterm Downtrend and in a shortterm strong Uptrend.

Let's look at the daily Chart first:

As you can see it is making lower lows and lower highs.
In addition we can see here a descending Channel.
The next main Levels are also drawn on this timeframe.

Consider the position of the price at this moment; it is at the upper Trendline.
We're expecting a Pullback, to break - later on - the channel (Longterm Plan).

Now we move on to the next H4 timeframe:

So, here we can see a strong Uptrend.
Look at this behavior of the market:

When the price reached the Trendline firstly, it bounced back immediatly (normal behavior).
Then it came back to try to make another high - but it failed to do it.
That means, that the bullish Power is weak now and the bears are getting stronger for now.
It made a double Top and is now retesting 50 MA.
The target is the next Support and Trendline.

Now we go to the Entry Timeframe:

It is at a temporary Support and is bouncing back now.
That's the time we will enter the trade.

We recommend to short at the orange box when a Reversal Pattern (false Break, etc.) appears.



Thanks and successful Trading :)!

Comment:

Here is the RED BOX in the case you need it ;)