GBP/USD Trading Signals with the Fibonacci Magic

Fibonacci Retracement:

• Swing Low - 1.14098
  
• Swing High - 1.34832
  

According to Fibonacci retracement, GBP/USD's last stop is a 50.00% retracement level. Currently, it's trading nearby a 23.60% retracement level.

The day traders can jump for the 38.20% retracement level but, there's a strong support trendline between the 23.60% to 38.20% range. How to play now? Use the following strategy to walk safely:

You can initiate a new short position at 'possible entry point' or use it as a hurdle. Clear your position at a strong support trendline to make a safe trade. It will help you to get a higher probability of success.

A strong sell signal will come after a breakdown of the 38.20% retracement level for the target of 1.12446 (50.00%).

GBPUSD is struggling to recapture a positive momentum. Fibonacci retracement may fail here because of the crossover of 50 & 200 MA, and strong support is ahead. That time, go with the flow. Here, flow is a strong support trendline. Accurately, if GBP/USD crossover the 1.3060, it will fly from there. And that will be for 1.3240 - 1.3400 levels.