GBP/USD rebounds from 0.786 Arc – Potential decline toward 0.618 Arc

Mohamad Gharib

British Pound/US Dollar (GBP/USD): Arc cycle analysis

Overview: Based on Arc Cycle Analysis applied to the 2h chart, British Pound/US Dollar has rebounded from the 0.786 Resistance Arc within the current Arc Cycle. The rebound confirms a bearish reaction and opens the potential for continued movement toward the next Support Arc.

Market outlook

Price has rebounded from the 0.786 Resistance Arc, confirming that the Arc continues to act as a resistance boundary within the current Arc Cycle. Continued bearish momentum could drive price toward the next Support Arc at the 0.618 Target Arc level.

Conversely, a sustained 2h close above the 0.786 Resistance Arc would weaken the bearish scenario and could reopen the path toward the outer 1 (100%) Resistance Arc.

Author

Mohamad Gharib

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