05.11.201911:43 Forex Analysis & Reviews: November 5, 2019 : GBP/USD showed respect for supply-level around 1.2980. Further Bearish decline towards 1.2780 is anticipated.

Few weeks ago, the neckline of the depicted Double-Bottom pattern (1.2400-1.2415) was breached to the upside allowing further bullish advancement to occur towards 1.2800 then 1.3000 where the GBP/USD pair looked OVERBOUGHT.

Shortly After, the GBP/USD pair has failed to achieve a persistent bullish breakout above the depicted SUPPLY-zone (1.2980-1.3000) which corresponds to a previous Prominent-TOP that goes back to May 2019.

Moreover, the depicted ascending wedge reversal pattern has been confirmed indicating a high probability of bearish reversal around the price levels of 1.2950-1.2970.

That's why, a quick bearish movement was anticipated towards 1.2780 (Key-Level) where some bullish recovery was recently initiated on October 24.

The recent Bullish rejection around the price levels of 1.2780, indicated another temporary bullish movement towards 1.2980-1.3000 where another long-term bearish swing was expected to occur.

Moreover, a quick bearish breakout below 1.2780 should be achieved to enable further bearish decline towards 1.2600-1.2650 where some bullish recovery should be anticipated.

Please note that bullish breakout above 1.3000 invalidates the mentioned bearish outlook temporarily until re-closure below 1.2970 is established again.

Trade Recommendations:

Intraday traders were advised to look for bearish rejection around 1.2980-1.3000 as a valid SELL signal with T/P levels projected towards 1.2780 and 1.2650.

It's already running in profits. Further bearish decline is expected to occur. Hence, S/L should be lowered to 1.2950 to secure some profits.