GBP/USD, Technical Analysis – H4

The downward correction is targeting the strong support level at 1.3400, which represents a significant confluence zone (trendline, local PPZ, and psychological round number). This creates a high probability of an upward reversal.

However, a breakout cannot be ruled out, which would lead to a full breakdown of the current uptrend.

Key Levels:

□ 1.3400 (strong confluence support)

□ 1.3480 – 1.3500 (rebound target)

□ 1.3350 (deeper support)

Primary Scenario:

Decline to 1.3400, followed by a rebound toward 1.3480–1.3500.

Alternative Scenario:

Decline toward 1.3350.

Analyst Commentary:

The 1.3400 level is particularly interesting for traders looking to play a bounce.