GBP Technical Analysis – Daily Timeframe
In the daily timeframe, the pound is trading within an ascending channel and has encountered a price correction upon reaching the upper boundary of the daily channel, around the $1.325 price level. The demand order block near the $1.28 price level can be considered as a support area.
GBP Technical Analysis – 1-Hour Timeframe
In the 1-hour timeframe, the pound is oscillating within a descending channel, and upon reaching the upper boundary of the channel, we can observe a reduction in buying strength and weakness in the upward trend. As shown in the image, the blue demand zone around the $1.30 price level can be considered a support area.
If the pound remains unable to break the upper boundary of the downward trend, we can expect a price correction down to the lower of the channel and the blue demand order block area.
Conversely, a strong break above the upper boundary of the descending channel and a subsequent consolidation above this area could encourage traders to anticipate a price increase in the pound.