GBPUSD Daily Analysis – August 8, 2023

GBPUSD is below the falling trend line on the 4-hour chart and remains in a downtrend from 1.3141.

As long as the price remains below the trend line, the recent bounce from 1.2619 could be considered as consolidation within the overall downtrend. In this scenario, another potential fall to test the 1.2590 support level is still possible after the consolidation. A breakdown below this level could potentially trigger a further downside move towards the 1.2500 area.

Immediate resistance is now identified at 1.2791. A break above this resistance level could lead the price towards the falling trend line. It is important to note that only a decisive breakout above the resistance would signify a potential completion of the downtrend.

Traders should closely monitor the price action around the falling trend line and the mentioned support and resistance levels for potential breakout or reversal signals.

In summary, the analysis indicates that GBPUSD remains in a downtrend, with the recent bounce seen as consolidation. Monitoring the price’s behavior around the trend line and key levels will be essential in assessing further directional moves. Traders should remain cautious and adapt their strategies accordingly.