GBPUSD TRADE IDEA

The GBPUSD pair has been consolidating below the 1.25 level in recent days, suggesting indecision and potential for a breakout in either direction. Key resistance levels are observed at 1.26381, 1.25808, and 1.25363, forming potential supply zones. Key support is found at 1.24368, 1.23000, and 1.21137. The descending channel pattern is still visible, but the price is currently testing the lower boundary of the channel. A break below this support level could signal a continuation of the downtrend. A short entry could be triggered upon a break below the 1.24368 support level or a retest of a supply zone. A stop-loss order could be placed above a recent swing high or the 1.25000 level. The profit target could be set at the 1.23000 support level or the lower boundary of a demand zone. Fundamental factors such as a strong US dollar and concerns about the UK economy could further favor a short trade on GBPUSD. However, the market is currently consolidating, and a breakout in either direction is possible. It is crucial to conduct thorough research, consult with a financial advisor, and implement proper risk management strategies before entering any trade.