The GBP/USD broke above the resistance trend lines (dotted orange) and price is now challenging the top of the downtrend channel (red). A bearish bounce is more likely as price could be completing a wave A of a larger ABC zigzag pattern. A break below the support trend line could confirm the completion of wave A and the start of wave B. Eventually a larger bullish correction is expected to take place within wave Y (purple) if this is wave pattern is correct.
The GBP/USD confirmed the bullish wave 5 (green) pattern when price broke above the resistance trend line (red) yesterday. The bullish break makes an ABC (blue) zigzag pattern likely. Price could move up to the Fibonacci targets of wave 5 if price continues above the consolidation (purple box).
