The GU has reached a spot where so many levels confluence it's almost made up. For starters, the 1.2980-1.30 is a heavy psychological resistance but also the March 11 2020 highs where we saw a 1500 pip drop in a week.
The market conditions are not the same as in March so do not expect a bearish market in the Pound, quite the opposite actually.
We are testing the overall bullish structure (white) as well as the immediate bullish structure (light blue) and the 261.8% retracement of the previous range (1.25-1.2770)
We expect a pullback to the previous highs around the 1.2750 to retest the current bullish structure (red) for the next leg up.
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