FX.co ★ GBPUSD Potential For Bullish Continuation | 13th September 2022

On the H4, prices have broken the descending channel and are moving in a bullish momentum- we are bullish biased. Prices seem to be moving toward the first resistance at 1.1760 where the 38.2% retracement and 61.8% projection sits. If bullish momentum continues, it should bring prices to the second resistance at 1.1872 levels where the 50% retracement sits. Alternatively, if it fails to break the first resistance, it might look to test the first support at 1.1605 where the 23.6% retracement and overlapping support sits then the second support at 1.1442 where the 161.8% extension sits

Trading Recommendation

Entry: 1.1605

Reason for Entry:

23.6% retracement, pull back buy entry

Take Profit: 1.1760

Reason for Take Profit:

38.2% retracement, 61.8% projection

Stop Loss: 1.1442

Reason for Stop Loss:

161.8% extension, previous swing low