GBP/USD Chart Analysis: (1H Timeframe)

**Chart Analysis: GBP/USD (1H Timeframe)**

**1. Chart Pattern - Rising Wedge 📉**
- The price has formed a **rising wedge**, a bearish reversal pattern.
- A rising wedge occurs when price makes higher highs and higher lows but within a narrowing range, suggesting weakening bullish momentum.
- The price has now broken out of the wedge, signaling a potential downward move.

**2. Key Levels & Targets 🎯**
- **Current Price:** Around **1.29720**
- **EMA Levels:**
- **7 EMA:** 1.29767 (Short-term trend indicator)
- **21 EMA:** 1.29748
- **50 EMA:** 1.29629 (More reliable trend indicator)
- **Bearish Breakdown Targets:**
- **First Target (Red Label):** Around **1.2800**, aligning with previous support levels.
- **Final Target (Green Label):** Around **1.2650**, suggesting a larger move downward if selling pressure continues.

**3. Confirmation of Downtrend? 🔻**
- The breakdown below the rising wedge suggests a potential **downtrend continuation**.
- The **break below 1.2900** would likely confirm a stronger bearish move.
- Volume is increasing on the move down, indicating strong selling interest.

*Possible Trade Setups 📊**
1. **Bearish Scenario:**
- A short position can be considered if price continues breaking below key EMAs and previous support.
- **Entry:** Below 1.2960
- **Stop Loss:** Above 1.3000
- **Take Profit:** 1.2800 (first target) or 1.2650 (final target).

2. **Bullish Reversal Possibility:**
- If price **reclaims the wedge** and breaks above 1.3000, it could invalidate the bearish pattern.

**Conclusion:**
- The **rising wedge breakdown** suggests bearish momentum.
- A move below **1.2900** would confirm further downside.
- **Watch for volume confirmation** before entering a trade. https://www.tradingview.com/x/9IzxzgGf/