FX.co ★ Khurram78 | GBP/USD

GBP/USD Technical Analysis – H4 and Daily Chart Saturday, November 7, 2026 | InvestSocial Forex Market Analysis Introduction GBP/USD remains an important currency pair to watch as traders evaluate the relationship between the British pound and the US dollar. The pair's next directional move will depend on market sentiment, economic developments, interest rate expectations, and the strength of buying or selling pressure around key technical levels. This analysis covers both the H4 and Daily timeframes, focusing on market structure, potential support and resistance zones, bullish and bearish scenarios, and the next possible price targets. Market timing note: November 7, 2026, is a Saturday, so the forex market is closed. The latest available Friday trading price should be treated as the reference price rather than a live quote. 1. GBP/USD H4 Chart Analysis Short-Term Bearish Pressure The H4 chart shows increasing selling pressure after GBP/USD failed to maintain its recent upward momentum near the 1.3500 resistance zone. The pair experienced a noticeable correction during Friday's session, closing around 1.3350 after opening near 1.3450. This decline suggests that sellers have gained short-term control. The immediate support area is located around 1.3340–1.3300. If the price breaks below this zone and establishes an H4 candle close underneath it, further bearish movement could develop toward 1.3265. A deeper correction may extend toward 1.3220 if selling pressure continues. On the upside, 1.3400–1.3425 is the first important resistance area. Buyers need to recover this zone to improve the short-term outlook. A successful breakout above 1.3425 could open the way toward 1.3465, followed by 1.3500. The current H4 structure suggests that traders should remain cautious about entering long positions before confirmation of a bullish reversal. Rejection from resistance could provide another opportunity for sellers, while a strong bullish candle above 1.3425 would indicate that buyers are returning. H4 Key Trading Levels Resistance 2 1.3500 Resistance 1 1.3425 Current reference price 1.3350 Support 1 1.3300 Support 2 1.3265 Support 3 1.3220 H4 Next Targets: Downside targets are 1.3300, 1.3265 and 1.3220. If buyers regain control, upside targets are 1.3425, 1.3465 and 1.3500.

2. GBP/USD Daily Chart Analysis Bullish Recovery Facing Resistance The Daily chart presents a broader picture of the GBP/USD market. The pair previously recovered from its October low near 1.3137 and climbed toward the 1.3500 psychological resistance area. This recovery demonstrated improving demand for the British pound. However, Friday's bearish daily candle has weakened the immediate bullish momentum. The pair opened around 1.3450 and declined to close near 1.3350, indicating that sellers are becoming more active at higher levels. The 1.3300 region is an important support area to monitor. If the daily price remains above this level, the broader recovery structure could remain intact. A successful bounce could bring the pair back toward 1.3425 and 1.3465. A breakout above 1.3500 would strengthen the bullish outlook and potentially expose 1.3550. On the other hand, a confirmed daily breakdown below 1.3300 could increase bearish pressure. In that situation, the next downside targets would be 1.3265 and 1.3220, followed by the deeper support region around 1.3135. Fundamentally, the Bank of England's recent 25-basis-point rate increase provides some support to sterling. However, renewed US dollar strength following the latest employment data and pressure in technology stocks have created additional challenges for GBP/USD. The Daily chart therefore suggests that the pair is experiencing a correction within its recent recovery rather than confirming a completely new long-term bearish trend.

3. Fundamental Factors and Market Sentiment The Bank of England's interest rate decision remains an important factor for sterling. Although the rate increase could support the pound, stronger US employment figures may encourage investors to maintain positions in the US dollar. Market participants should also monitor upcoming inflation figures and central bank commentary for additional direction. These fundamental developments could increase volatility when the forex market reopens on Monday. 4. Overall Market Outlook and Trading Strategy Overall, GBP/USD is showing short-term bearish pressure, while the Daily chart still reflects the previous recovery from October's lows. The 1.3300 support level will be particularly important in determining the next move. Holding above this area could encourage another bullish attempt toward 1.3425 and 1.3500. However, a confirmed breakdown could extend the correction toward 1.3265 and 1.3220. My preferred approach is to wait for price confirmation around the major support and resistance levels rather than entering the market prematurely. Traders should also use appropriate stop-loss levels and manage risk carefully during periods of increased volatility. Final View: GBP/USD has a cautiously bearish short-term outlook below 1.3425. The broader recovery could remain relevant as long as the pair holds above 1.3300.