GBP/USD Bearish Rejection at Resistance | High-Probability Sell Setup 📉

GBP/USD has rallied into a significant resistance and supply zone after a strong bullish impulse, where price is now approaching an area that previously attracted selling pressure. The recent move appears to be testing liquidity above the highs, making this a key region to watch for a potential bearish reaction rather than chasing the upside.

From a Smart Money Concepts (SMC) perspective, the market is approaching a premium pricing area where institutional selling interest could emerge. A confirmed rejection, followed by a lower high and a break in market structure (CHoCH/BOS) on the lower timeframes, would strengthen the bearish case and open the door for a continuation toward lower support levels.

📉 Bearish Scenario

If sellers defend the highlighted resistance zone, I expect price to rotate lower toward the following targets:

🎯 Target 1: 1.3400
🎯 Target 2: 1.3360
🎯 Target 3: 1.3300–1.3270 demand zone

A clean rejection with increasing bearish momentum and volume would provide additional confirmation for this outlook. Risk management remains essential, as false breakouts around liquidity zones are common.

📈 Bullish Scenario

If buyers manage to secure a strong close above the resistance zone and successfully retest it as support, the bearish setup becomes invalid. In that case, GBP/USD could continue its bullish expansion toward higher liquidity and fresh highs, offering opportunities for trend-following long positions.

🔍 Trading Perspective

* ✅ Price is trading inside a major supply/resistance zone.
* ✅ Liquidity above recent highs may be swept before the real move.
* ✅ Wait for confirmation instead of predicting the direction.
* ✅ Watch for CHoCH/BOS on lower timeframes for higher-probability entries.
* ✅ Always trade with proper risk management and avoid emotional decisions.

This analysis reflects my current technical view based on market structure, liquidity, and price action. The market can change at any time, so remain patient, let price confirm your bias, and never risk more than you can afford to lose.