GBP/USD: "Double Bottom" set up bullish correction
The price has been rising since a “Double Bottom” formed near the downtrend’s lower side. The 34 Moving Average acted as a resistance. Therefore, bulls are likely going to move on towards the next resistance at 1.3471 – 1.3614. If so, the last “Breakaway Gap” will be closed soon. However, if a pullback from this area happens later on, bears will probably try to achieve a support at 1.3226.
Bulls faced a support at 1.3356, which led to the current local downward movement. However, the price is likely going to reach a resistance at 1.3495 – 1.3532. If a pullback from this area happens afterwards, there’ll be an opportunity to see a decline towards a support at 1.3285 – 1.3226.