Pound Dollar Starting 2022 with a Bang! (GBPUSD)
Towards close of 2021, we were looking for a retest of the 1.34726 zone for us to get in on the GBPUSD long train. Needless say the retest did not come, but we still had the chance to cash in on the move.
Price instead rallied up breaking 1.34615 to the resistance zone at 1.35050 with a retest at the 1.34615 level which was our confirmation/entry trigger to go long.
This takes us back to the bigger picture on h4 as we approach the top of the channel. We are seeing a retest on the 1.35050. If the level holds we are looking for price to continue the move up to the 1.36000 zones before breaking higher/ reversing at the top of the channel.
My question to you this week is do the bulls have enough momentum to push higher or have we exhausted this trend?