Forex Technical Analysis: Trend potential – A downward reversal

GBPUSD – FlatDaily chart: the pair is aimed toward the upper Bollinger band (1.3361), from where it is expected to bounce down. Although ADX is very close to the active trend zone, which may be interpreted in favor of buyers who may try to get beyond the top envelope. Н4: a well expressed bearish divergence oscillator, but active ADX anticipates a downward reversal. Two resistance lines on the way of bulls – 1.3277 and 1.3361. Н1: dense resistance 1.3277 and weak ADX. Support is at 1.3218 The main scenario – touch of 1.3277 and a downward reversal to 1.3218 The alternative scenario – surge to 1.3361 solutions: Looking for downward entry points around 1.3277 and 1.3361.
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