The GBPUSD had a significant bullish momentum yesterday. Price attempted to push lower, bottomed at 1.5832 but surprisingly whipsawed to the upside, topped at 1.6092 and closed at 1.6076. On h4 chart below we can see that price is now testing the upper line of the bearish channel which is a serious threat to the bearish outlook. However, as long as the bearish channel valid, the bearish scenario should remains intact and actually the upper line of the bearish channel area is a good place for a short position with a tight stop loss above the bearish channel. A good technical set up and risk-reward ratio. A violation to the bearish channel should be seen as bearish failure and could trigger further bullish scenario towards 1.6250 area. Immediate support at 1.6020 area. Break below that area should trigger further bearish momentum towards 1.5920 area and keep the bearish scenario intact.
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