The GBP/USD is in a critical phase where price will either show a continuation of the downtrend or larger bullish retracement.
The GBP/USD could either start a wave 2 (pink) correction once price breaks above the resistance trend line (orange) or continue with the downtrend if price breaks below the previous bottom at 1.31.
The GBP/USD could be building a potential wave 1-2 (blue) if price breaks below the support trend line (green). A break below the 100% Fib invalidates the bullish wave 2 reversal (blue).
