GBP/USD: Caught Between a Rock and a Breakout!

Alright y'all, let's dive into a top-down analysis of GBP/USD. Starting on the monthly chart, we see price approaching a key weekly resistance level at 1.32226. The pair has been respecting this level since mid-2023, and it’s been a significant zone for reversal or continuation. With price just under this resistance, we need to be cautious of possible rejection, especially considering the slight pullback we see on the weekly chart.

Looking at the weekly, the candles are showing bearish momentum over the past couple of weeks, approaching key support at 1.29982. However, if we see price hold above 1.30884, we could look for potential buys with a target towards 1.32226. But, if it breaks below 1.30825, we’re definitely looking at more downside potential, possibly down to 1.29982. If I'm hopping into a trade, I’ll be watching for confirmation either on the 4H or daily timeframes around these key levels before pulling the trigger. My bias right now is neutral—waiting to see where the market momentum shifts next!