GBP/USD trade idea.This is a 1-hour chart of GBP/USD (British Pound vs US Dollar), with a clear bearish setup. Here's the breakdown:
Chart Analysis:
Channel Structure:
The price is moving inside an ascending channel with clear upper and lower trendlines.
Liquidity Sweep ($$$):
Two areas marked as “$$$” indicate liquidity grab (stop-hunt zones) below equal lows — classic signs of engineered liquidity.
Resistance Zone (Supply):
A key supply zone is highlighted between 1.36045 and slightly below it, where price previously reacted. This zone is expected to act as a strong resistance.
Current Price:
Price is currently at 1.35844 and appears to be heading up toward the supply zone again.
Trade Idea (Bearish Setup):
Entry:
Wait for the price to enter the supply zone (around 1.36045), possibly wick above it slightly to trap buyers.
Sell Trigger:
Look for bearish confirmation (like bearish engulfing or market structure shift) inside the supply zone.
Stop Loss:
Placed just above the supply zone and the channel resistance — around 1.36464.
Take Profit:
Target is set near the channel support, around 1.34799.
Risk:Reward Ratio:
Favorable setup — risk is smaller compared to the large potential reward.
Summary (in short):
A short-term bullish move to trap liquidity into the supply zone.
A rejection from the supply zone.
A bearish drop toward the channel’s lower boundary.
Support and Boost for appreciate.
