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GBP/USD - Falling Wedge Resistance in Play

The GBP/USD has been bullish in February after putting in a price bottom and then rallying above a falling trendline seen in the daily chart. In the 4H chart, we can see that price action is currently respecting a rising wedge resistance and retreating. If ir clears below the brief consolidation range support at 1.5370, it can open up the 1.53 level, which is where the rising wedge support is likely going to be and where the 50-period SMA resides. It was also a previous resistance pivot.

GBP/USD 4H chart 2/16
(click to enlarge)

While holding above 1.53 could be a strong bullish continuation signal, breaking it is not necessarily the strongest bearish continuation signal. In the daily chart, we can see a key support/resistance pivot at 1.52. Even in the 4H chart, we can see that 1.52 is important, and where the 200-, and 100-period SMA's reside. A break below 1.52 would be a strong sign of bearish continuation.