GBP/USD (British Pound / US Dollar) on a 4-hour (4H) timeframe,

GBP/USD (British Pound / US Dollar) currency pair on a 4-hour (4H) timeframe.



Chart Breakdown:

1. Market Structure:

• The price is moving inside an ascending wedge pattern, which often indicates a potential reversal or breakdown.

• The price has broken above the wedge, suggesting a possible bullish breakout.

2. Key Levels:

• Entry Zones: Two “ENTRY ZONE” levels are marked, indicating potential areas for entering trades.

• Support & Resistance:

• The price is currently near 1.27604, above previous resistance.

• Key support levels are around 1.26506, 1.24393, and 1.23608.

3. Trading Implications:

• If the price sustains above the 1.27580 - 1.27600 area, it could continue moving higher.

• If the price falls back below the upper entry zone, it may indicate a false breakout, leading to a bearish move toward the lower entry zone.

• A breakdown from the wedge pattern could trigger a sell-off towards 1.24393 or lower.



Potential Trade Setup:

• Bullish case: If price holds above 1.27580, buyers might push it higher.

• Bearish case: If price re-enters the wedge, it could drop toward the lower entry zone or further down.