GBPUSD Nearing 50% Fib Retrace of Jun-Sep Slide
The GBPUSD is consolidating going into today’s European morning, but appears to have a bit more upside before bumping into upchannel resistance (on the 4hr and daily chart). Significantly, after the strong bounce off downchannel support (on the weekly chart), the GBPUSD is likely going to spend next week digesting the rebound to the same downchannel’s resistance coinciding with the 50% Fib retrace of the June to September slide. The odds of GBPUSD testing the 2021 high before year end is now moderately high. The weekly, daily and 4hr RSI, Stochastics and MACD are bottomish, rallying or consolidating recent gains. I am looking to go long in the green zone (of the daily chart), targeting the red zone for Wednesday. The amber/yellow zone is where I might place a stop if I was a swing trader (although in my personal account with which I seldom hold overnight I sometimes set my stops tighter).