Technical analysis for GBP/USD is showing that the cable formed double bottom on the daily chart and broke above 1.3780 on the 4H chart signaling a potential for further upside ahead. The first target of this 4H break is at 1.272 FIB extension at 1.3830, the second target is at 1.618 FIB extension at 1.3870, and the third target is the previous daily high at 1.3919. If GBP/USD we see a break above 1.3919, that will be a signal for resumption of the bullish trend and send the pair higher toward, first 1.4017, and break above that will send the price toward the previous weekly high at 1.4243. Break above 1.4243 will send the GBP/USD toward the second target of the 3rd weekly bullish trend at 1.618 FIB extension at 1.4520.
On the other hand, if the pair GBP/USD failed to break above the descending price channel on the daily chart, and eventually break back below the daily double bottoms, it will be a signal for resumption of the daily bearish trend. The first target the 100% FIB extension at 1.3535, and the second target at 1.272 FIB extension at 1.3410.