GBP/USD Analysis – Bearish Setup from Rising Wedge Pattern
Timeframe: 30-Minute Chart
Instrument: GBP/USD (British Pound / U.S. Dollar)
Date: May 9, 2025
Pattern Type: Rising Wedge (Bearish Reversal)
🔍 Technical Overview:
The GBP/USD pair has been exhibiting a clear downtrend, as evidenced by a series of lower highs and lower lows prior to the current consolidation. After falling sharply from the resistance zone near 1.33000, price found temporary support just above 1.32100. From this support zone, a Rising Wedge pattern began to form.
🟦 Key Zones:
Resistance Zone: 1.32800–1.33000
This level acted as a supply area where sellers have previously stepped in, causing sharp rejections.
Support Zone: 1.32000–1.32100
This horizontal level is holding temporarily and aligns with previous price reactions, making it a critical short-term support.
🧩 Chart Pattern Breakdown – Rising Wedge:
The wedge structure is characterized by:
Higher highs and higher lows with converging trendlines, indicating exhaustion in buying momentum.
This typically signals a bearish reversal, especially when formed after a significant down move.
As price approaches the wedge apex, volatility tightens, suggesting a breakout is imminent.
This rising wedge is textbook in form and confirms a corrective phase in an overall downtrend.
🎯 Trade Setup Details:
Entry (Sell): Upon confirmed breakout and candle close below the wedge, ideally below 1.32100
Take Profit (TP):
→ Initial Target: 1.31866 – recent support and minor demand zone
Stop Loss (SL):
→ Above wedge high or resistance: 1.33034, which protects against a false breakout or retest of the wedge’s upper boundary.
This gives a favorable risk-to-reward ratio in alignment with smart risk management.
📈 Trade Idea Summary:
Bias: Bearish
Pattern: Rising Wedge
Market Context: Downtrend continuation expected
Strategy: Sell the breakdown of wedge with SL above resistance
Risk Management: Defined SL, clear TP zone for conservative exit
Timeframe: 30-Minute Chart
Instrument: GBP/USD (British Pound / U.S. Dollar)
Date: May 9, 2025
Pattern Type: Rising Wedge (Bearish Reversal)
🔍 Technical Overview:
The GBP/USD pair has been exhibiting a clear downtrend, as evidenced by a series of lower highs and lower lows prior to the current consolidation. After falling sharply from the resistance zone near 1.33000, price found temporary support just above 1.32100. From this support zone, a Rising Wedge pattern began to form.
🟦 Key Zones:
Resistance Zone: 1.32800–1.33000
This level acted as a supply area where sellers have previously stepped in, causing sharp rejections.
Support Zone: 1.32000–1.32100
This horizontal level is holding temporarily and aligns with previous price reactions, making it a critical short-term support.
🧩 Chart Pattern Breakdown – Rising Wedge:
The wedge structure is characterized by:
Higher highs and higher lows with converging trendlines, indicating exhaustion in buying momentum.
This typically signals a bearish reversal, especially when formed after a significant down move.
As price approaches the wedge apex, volatility tightens, suggesting a breakout is imminent.
This rising wedge is textbook in form and confirms a corrective phase in an overall downtrend.
🎯 Trade Setup Details:
Entry (Sell): Upon confirmed breakout and candle close below the wedge, ideally below 1.32100
Take Profit (TP):
→ Initial Target: 1.31866 – recent support and minor demand zone
Stop Loss (SL):
→ Above wedge high or resistance: 1.33034, which protects against a false breakout or retest of the wedge’s upper boundary.
This gives a favorable risk-to-reward ratio in alignment with smart risk management.
📈 Trade Idea Summary:
Bias: Bearish
Pattern: Rising Wedge
Market Context: Downtrend continuation expected
Strategy: Sell the breakdown of wedge with SL above resistance
Risk Management: Defined SL, clear TP zone for conservative exit
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Penafian
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Penerbitan berkaitan
Penafian
Maklumat dan penerbitan adalah tidak dimaksudkan untuk menjadi, dan tidak membentuk, nasihat untuk kewangan, pelaburan, perdagangan dan jenis-jenis lain atau cadangan yang dibekalkan atau disahkan oleh TradingView. Baca dengan lebih lanjut di Terma Penggunaan.