On this chart, my analysis shows that GBPUSD is on a bearish downtrend with no signs of reversal yet. On the 4h chart, we see that GBPUSD might potentially form a head and shoulders which would indicate a bearish trend and that it would still follow my prediction.
We are currently near that .786 fib level which seems very prime for a short and I kept my take profits at around 1.2000 because when you refer back to the monthly time frame, we see that wicks drop down to those specific levels.
The blue line was just used as a reference for me to see where to keep my stop loss just in case we got a false breakout outside of this trendline.
We are currently near that .786 fib level which seems very prime for a short and I kept my take profits at around 1.2000 because when you refer back to the monthly time frame, we see that wicks drop down to those specific levels.
The blue line was just used as a reference for me to see where to keep my stop loss just in case we got a false breakout outside of this trendline.