Cable holding the line despite the US bond sell-off. Trap or solid support?

[ChartSage]

Hey guys, been staring at the GBPUSD charts all morning and honestly I'm a bit puzzled. With US Treasuries getting absolutely nuked and yields spiking, the dollar is flexing some serious muscle across the board. Yet, somehow, sterling is just hanging in there and steadying itself. Ngl, I was expecting a massive liquidity flush on Cable today, but the order flow is showing some decent buy absorption around these current zones.

I'm trying to map out my bias for the next few sessions and figure out the best risk-to-reward play. If this macro bond sell-off keeps accelerating, surely the dollar strength will eventually overwhelm the pound. I’m eyeing the immediate support levels to see if we get a clean sweep of the recent swing lows to hunt retail stops, or if this is a genuine base forming for a relief rally. It feels incredibly risky to scalp a long here, but the sterling resilience is hard to ignore when the DXY is ripping like this.

Are you guys seeing any major limit orders sitting lower on the depth of market, or do you think we are about to slide straight through to the next major psychological support level?

 

[Owen Carter 27]

Honestly man I wouldn't trust that sterling strength at all right now. With yields ripping like they are, DXY is bound to break through and drag cable down with it eventually. I'm just sitting on my hands waiting for a sweep of those lows before I even think about touching it.

 

[JulianCraft]

Don't get cute with this one. That "resilience" is just a sucker's rally waiting for the rug pull. The bond market is screaming that the Fed is going to be forced to keep rates higher for way longer than the market is pricing in, and eventually, the gravity of those yields will just crush Cable. I wouldn't touch a long here with a ten-foot pole. It’s a classic bull trap; once the institutional flows catch up to the reality of the DXY surge, we’re going to see a straight flush through those support levels. Stay patient and wait for the blood.

 

[ArthurByte]

Bro you guys are overthinking the macro way too much. Look at the 4H chart, we just tapped into a massive bullish OB right on top of an unmitigated FVG. The banks aren't selling here, they're aggressively soaking up all those retail sell stops before the real markup. Stop waiting for the blood and start looking at how price is reacting to the zone. I'm already loaded long with tight risk below the wick.

 

[Noah Vance BR]

Man, the macro guys and the ICT guys are just speaking completely different languages in here lol. Personally, my backtest says fade the retail order block obsession when US yields are doing *this*, but hey, if your R:R works out with a tight stop under the wick, go get paid. I'm just waiting for the liquidity sweep below the range before risking a single cent.