GBPUSD Weekly Analysis (Nov 22)

GBPUSD Weekly Analysis (Nov 22)

GBPUSD daily chart 2021 11 23
GBPUSD daily chart

The overall structure of lower highs starting from point B remains intact. That keeps the bearish trend started from point A in place. As the price attempts towards the long-term 200-day simple moving average a few weeks ago were rejected, placing a new lower swing high.

Although we are trading in a bearish trend structure, upside pullbacks have been sharp and may continue to be so. Hence, If we see a bullish bounce with a break above 1.3510, we may retest the falling trend line for the descending channel again.

The break below the shaded support region around 1.3500 is a negative sign and keeps the bearish bias favored.

The next downside targets start at the 1.271 extension level for the most recent upside pullback around 1.3300, followed by the 1.3150-1.3200 region.

Lu'ay Af.
Written by
Lu'ay Af.
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