GBPUSD Potential for Bullish Rise | 7th October 2022

On H4, the price is at corrective wave B, and showing a retracing trend. With the price is above ichimoku cloud , we could expect the price drop to the 1st support at 1.09391, which is in line with the 50% fibonacci retracement , and then rise to the 1st resistance at 1.14897, where the swing high and the end of wave A sit. Alternatively, the price may break the 1st support and then drop to the 2nd support at 1.06347, where the 78.6% fibonacci retracement is.

Trading Recommendation

Entry: 1.09391

Reason for Entry: 50% fibonacci retracement

Take Profit: 1.14897

Reason for Take Profit:

swing high and the end of wave A

Stop Loss: 1.06347

Reason for Stop Loss:

78.6% fibonacci retracement

The material has been provided by InstaForex Company – www.instaforex.com