GBPUSD Weekly Outlook May 5-9, 2026: Cable Breaks Higher but Faces 1.3660 Supply Test
News context: Following recent dollar strength and changing risk sentiment, GBPUSD remains a key market to watch for short-term structure and liquidity shifts.
Cable delivered one of its strongest weekly performances in recent months, closing at 1.3575 after printing a high of 1.3657 — a level not visited in over two months. The weekly structure is decisively bullish: price broke above the consolidation ceiling at 1.3540, swept the prior equal highs cluster, and the 4H is printing a clean impulsive structure.
Daily Timeframe: Clean BOS Above 1.3600
The daily SMC structure confirms a bullish Break of Structure (BOS) above the 1.3600 area this past week, after the pair had been accumulating in the 1.3450-1.3540 range. The Thursday-Friday impulse carried price from a low of 1.3454 to the 1.3657 high, a 200-pip move driven by USD weakness.
The PO3 daily configuration: Open 1.3604 | High 1.3657 | Low 1.3568 | Close 1.3575. Friday closed inside the lower half of the daily PO3 box — suggesting partial distribution. However, the weekly BOS remains intact. The SMC daily order block resistance sits at the 1.3700-1.3660 zone. Bulls need a clean break and retest of this zone to confirm continuation toward the 1.3800 psychological handle. Below, the 1.3500-1.3480 zone is the key demand OB where buyers should defend aggressively.
4-Hour Timeframe: Bullish Momentum, Pullback Likely
The 4H structure shows a textbook three-drive bullish impulse from 1.3461 then 1.3512 then 1.3577 then 1.3657. Each leg swept prior highs and printed clean BOS candles. The Friday close at 1.3575 represents a natural pullback from the 1.3657 high, likely retracing into the 1.3540-1.3520 area (the last 4H BOS zone) before resuming higher.
- Resistance: 1.3657 (weekly high, liquidity pool above), 1.3700 (psychological + bearish OB)
- Demand / FVG: 1.3540-1.3520 (4H BOS flip and fair value gap)
- Support: 1.3480-1.3455 (prior accumulation base / demand OB)
1-Hour and 30-Minute Setups
Monday’s London session will likely see a retracement into the 1.3540-1.3520 demand zone. The ideal ICT setup is a London Open or AM Silver Bullet long from that zone, with a stop below 1.3500, targeting the 1.3620 and then the 1.3657 weekly high sweep. If 1.3660 breaks cleanly on NFP Friday, the next target is the 1.3700 bearish OB. Bears should only engage on a confirmed 4H close below 1.3500.
Economic Catalyst: NFP Friday
- Tuesday: US ISM Services — a miss extends Cable’s bull run
- Wednesday: US ADP — early signals for NFP direction
- Friday: US NFP — the defining event; a miss could push Cable through 1.3700
| Level | Type | Notes |
|---|---|---|
| 1.3700 | Bearish OB / Psych | Major resistance, NFP target |
| 1.3657 | Weekly High | Liquidity sweep target |
| 1.3575 | Friday Close | Current price |
| 1.3540-1.3520 | 4H BOS Demand | Optimal long entry zone |
| 1.3480 | Key Demand OB | Bull/bear line |
| 1.3455 | Accumulation Base | Last line of demand |
Weekly Bias: Bullish — Buy pullbacks into 1.3540-1.3520
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Compare with gbpusd previous outlook, GBPJPY daily outlook, and AI forex trading signals.
