GBPUSD sell watch as buyers struggle to hold a minor rally.

Thanks for stopping by TradingView community. Today’s video update is on the GBPUSD as plenty of signs continue to tell us that price continues to sit in a downtrend. (last weeks LL after new LHs) At this point, we’re waiting for new evidence that Friday’s close lower could be a new extension lower.

First, we could see today’s rally fail and break Friday’s low setting of a potential sell signal. If we see a small higher close today, we would then look to see if tomorrow’s action can break that low, signalling a potential new sell signal.

If we see a rally today and price closes above 1.2355 we would start to question seller strength on the short term. UK inflation is hinted at possibly reaching double digits, and it currently sits in the 9% range, but fortunes still look to be driven by the USD. Despite a rally after the UK raised rates last week, we still saw declines on Friday after the USD rallied.

We hope everyone had a pleasant weekend and good trading.