Strong bullish rejection was expressed around 1.4700 (previous weekly low). A significant bullish weekly candlestick was expressed by the end of the week.
Shortly after, an evident bearish pressure was applied around 1.4960-1.5000.
This price zone corresponds to 38.2% Fibonacci level as well as previous weekly demand, which was broken back in January 2015.
A sideways movement with slight bearish tendency had been expressed on the daily chart until the bearish breakdown of daily demand level at 1.4700 took place last week.
A projection target for this consolidating breakout was located around the level of 1.4440. However, GBP/USD bears failed to keep trading below their recent daily supply at 1.4800.
Recently, the GBP/USD pair failed to trade above the level of 1.4970. This brought the pair back to the lower limit of the price range at 1.4700 where extensive bearish pressure was applied.
The GBP/USD pair has been trapped between the levels of 1.4700 and 1.4970. A false bearish breakout took place below 1.4700 then GBP/USD bulls came back to trade above 1.4700.
As anticipated, H4 fixation above 1.4800 is likely to ease the bearish pressure attempting to rally towards the zone around 1.4950-1.4970 (consolidation zone's upper limit).
A valid sell entry could be offered at retesting of 1.4940 - 4970 (upper limit of the wedge pattern as well as 38.2% Fibonacci level).
Estimated bearish targets would be projected towards 1.4850, 1.4800, and 1.4730.
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