Market Sentiment and Smart Money Concepts
According to the daily overview the GBP/USD price is currently showing a bearish bias. The last structural break happened at the 1.2520 level. It is currently retracing to the upside. When analyzing the 4-hour chart, we can see that the price takes out the short-term high at the 1.2710 level and now it is reacting near a point of interest (POI) or a supply zone.
As a result, the expectation is for the price to continue following the bearish bias and move in a bearish direction as indicated in the daily overview. The target is the 4-hour demand zone marked on the chart. Learn about FREE Smart Money Analysis
Conclusion
The GBP/USD pair is expected to resume its bearish trend following the retracement to the supply zone near 1.2710. The overall market structure supports a move towards the 4-hour demand zone. Traders should monitor the price action at the supply zone closely to gauge the strength of the bearish continuation. Aligning trading strategies with these key technical insights can enhance decision-making in the GBP/USD market.
