Analysis :

Market Structure

• Previous Trend:GBP USD is in a strong bullish uptrend, forming higher highs and higher lows.
• Current Trend: The price is currently consolidating in a supply zone (resistance area) around 1.29200 - 1.30100. If price holds above this zone, it could continue higher; however, rejection may lead to a pullback.
• Bias: Bullish, but cautious of potential rejection at supply zone (1.29200 - 1.30100)

Order Blocks

• Bearish Order Block (Supply Zone)
  Zone: 1.29200 - 1.30100 Price is currently consolidating here. If price fails to break this level, expect a potential short-term pullback.
• Bullish Order Block (Demand Zone)
  Zone: 1.27500 - 1.28000 If price retraces here, Smart Money may enter long positions.
• Key Play: Buy at the demand zone OR sell at the supply zone rejection.

Moving Averages

• Red Line: Likely the 50 EMA, acting as short-term dynamic support.
• Green Line: Likely the 100 EMA, providing medium-term trend support.
• Blue Line: Likely the 200 EMA, acting as long-term trend support.

Expectation

If price rejects the supply zone, it may test the 50 EMA (near 1.28000 - 1.28500) before continuing higher. If price breaks above, then the trend remains bullish with potential targets at 1.31000+.

Trading Plan

• Bullish Setup (Best Trade)
• Entry: Buy on a retracement to 1.27500 - 1.28000.
• Target 1: 1.29200 (Liquidity Grab).
• Target 2: 1.30100 (Supply Zone).
• Stop-Loss: Below 1.27200.
• Risk-Reward Ratio: 1:2.

• Bearish Setup (Only If Rejection at 1.29200 - 1.30100)
• Entry: Short if price shows strong rejection at 1.29200 - 1.30100.
• Target 1: 1.28500 (50 EMA Support).
• Target 2: 1.27500 (Demand Zone).
• Stop-Loss: Above 1.30500.
• Risk-Reward Ratio: 1:2.

Happy Trading!