the GBP/USD is moving up quickly and price is now retesting the previous high and resistance point. This zone could become a bearish bouncing spot for another move lower.
The GBP/USD downtrend continuation could be part of wave 5 (pink) of wave 5 (purple). A break above the resistance zone (red) however indicates a larger bullish correction.
The GBP/USD could be building a bullish retracement within wave 2 (purple) as long as price stays below the previous top and 100% Fibonacci level. A break below the support (blue) trend line confirms the potential bearish breakout.