FX.co ★ Jackroay | GBP/USD

I analyze the recent GBPUSD price action by focusing on extremes, and I note that on the H4 timeframe the key minimum extreme at 1.3285 still defines the boundary between trend continuation and reversal, and I consider this level crucial for sellers. I believe that until I see a confident breakout and consolidation below 1.3285, I must treat the broader structure as bullish, even if I describe the current movement as a corrective phase within a larger downward scenario. I observe that on the H1 timeframe the minimum at 1.3350 played an important tactical role, and I interpret the breakout above it earlier as a possible stop-hunting move rather than a clean trend signal. I recognize that the subsequent failure to hold above 1.3435 confirms for me that bullish momentum has slowed, and I interpret the pullback as a natural reaction after an impulsive rise. I acknowledge that when price briefly dropped below 1.3350 and quickly returned higher, I saw clear evidence that bears currently lack strength. I admit that I do not have precise near-term targets right now, and I prefer to stay flexible rather than force trades without structure. I also factor in that I am at the end of the trading week, and I expect position closing to distort intraday signals. I consider the dollar’s pause in weakness as another reason why I should not aggressively chase longs at current levels. I maintain that if price returns toward the 1.3420–1.3435 zone, I would consider selling, because I see a favorable risk-to-reward with a tight stop.

I reflect on today’s trading outcome and I confirm that I managed to capture the main move toward the 1.3354 area, which I had identified earlier as the minimum swing target. I admit that I was unable to add to the position because price narrowly missed my secondary pending order, and I accept this as part of disciplined trading. I emphasize that I traded aggressively today, and I did so knowingly against the dominant higher-timeframe structure because I saw a clear intraday opportunity. I observe that bears pushed price down to around 1.3341, and I clearly saw buyers step in and defend the level, which reinforced my view of weak bearish pressure. I understand that buying in the middle of the 1.33 figure is risky, and I personally prefer either clear extremes or confirmed pullbacks. I note that my charts currently show what I call a “half-buy” signal, and I treat it with caution rather than confidence. I identify 1.3407 as an initial take-profit area, and I plan to rely on Fibonacci extensions for further targets if momentum returns. I consciously ignore late American-session signals on Fridays, and I do this because I know they often fail or distort structure. I conclude that despite the minor decline, I still see a well-defined ascending channel, and I believe the correction fits neatly within it. I maintain that growth remains the priority, and I am prepared to look for fresh buy opportunities from the 1.3340 Fibonacci area if the market offers confirmation after the weekend.