GBPUSD BUY AND SELL SETUP

GBPUSD is currently showing some bullish potential however it is not completely out of the woods yet. There are setups on both the long and short side with this pair where I will be waiting for levels to be taken out to show a clearer trade either side.

LONG: Market has just popped its head above a descending channel after rejecting the 61.8 fib of the upward move. if we close above this channel we are going to need a retest of the broken trend line and continuation above 1.2500 to enter long up to previous high at 1.26500 and up to and projected 1.27 extension at 1.28200

SHORT: For short trades we would need a 4 hour close below 1.23000 which will then see us down to the lows at 1.21500. In my opinion this will signal a move lower again for the pound beyond the flash crash lows.