GBPUSD Daily Analysis 02/25/2025

Technical analysis

1. Overview of Momentum and Market Structure

• Previous Day: Bearish

• Current Bias: Bearish

• Range: 1.2690 – 1.2611

• Expectations: Price is likely to move lower, targeting key liquidity zones before a potential reversal.

Trading Plan

Bearish Bias

Strategy:
Look for sell opportunities at strong resistance and liquidity zones:

• Sell Levels:

  • 1.2690 (Key Resistance - Potential Short Entry)

  • 1.2670 (H4 FVG - Liquidity Grab & Rejection Zone)

  • 1.2650 (H1 Liquidity - Break & Retest Area for Downside Move)

Primary Targets:

• 1.2611 (Extreme Liquidity - First Key Downside Target)

• 1.2586 (H4 OB - Strong Demand Zone for Buyers to Step In)

• 1.2562 (H4 Liquidity - Extreme Liquidity & Potential Reversal Zone)

For Long Positions

Strategy:
Look for buy opportunities at key support levels:

• Buy Levels:

  • 1.2586 (H4 OB - Strong Support Zone for Longs)

  • 1.2562 (H4 Liquidity - Major Reversal Area for Upside Move)

Buy Targets:

• 1.2650 (H1 Liquidity - First Upside Target for Bulls)

• 1.2670 (H4 FVG - Liquidity Grab Confirmation for Trend Shift)

• 1.2690 (Major Resistance - Key Level for Bulls to Break for Further Upside)

Summary

• Bearish momentum remains valid below 1.2690, targeting 1.2611, 1.2586, and 1.2562.

• Short setups become valid at 1.2650 and 1.2670 for potential downside moves.

• Long setups become valid near 1.2586 and 1.2562 for possible reversals.

• Monitor price action near liquidity and FVG levels for confirmation.