FX.co ★ GBPUSD Potential For Bearish Continuation | 19th May 2022

On the H4, with price reversing off the Ichimoku indicator, we have a bearish bias that price will drop from our 1st resistance at 1.23923 where the horizontal overlap support is to our 1st support at 1.22667 in line with the horizontal pullback support, 100% Fibonacci projection and 61.8% Fibonacci retracement. Alternatively, price may break 1st resistance structure and head for 2nd resistance at 1.24961 where the horizontal swing high resistance is.

Trading Recommendation

Entry: 1.23923

Reason for Entry:

Horizontal overlap support

Take Profit:1.22667

Reason for Take Profit:Horizontal pullback support, 100% Fibonacci projection and 61.8% Fibonacci retracement

Stop Loss: 1.24961

Reason for Stop Loss:

Horizontal swing high resistance