GBP has been very strong last week and again so far this week.
Today the story is strong GBP and slightly weak Dollar.
Brexit news keeps coming and as they say, the market loves to react only to the news that fits the trend.
If this zone does not contain GU then look for much higher levels.
This channel may prove to be too steep for GU and could lead to some retrace or consolidation before resuming the trend.
I placed arrows to show the last time GU was above the 200 EMA, notice it was a sharp move, stall and sharp drop. If you consider the length of time this has been above the 200 EMA, this is a significant move this time.
At this point it is going to take a negative headline regarding brexit OR some serious profit taking from early bulls.
Ideas: short if momentum stalls or zone is rejected.
long on a retrace if not already long.
Trade safe.
Today the story is strong GBP and slightly weak Dollar.
Brexit news keeps coming and as they say, the market loves to react only to the news that fits the trend.
If this zone does not contain GU then look for much higher levels.
This channel may prove to be too steep for GU and could lead to some retrace or consolidation before resuming the trend.
I placed arrows to show the last time GU was above the 200 EMA, notice it was a sharp move, stall and sharp drop. If you consider the length of time this has been above the 200 EMA, this is a significant move this time.
At this point it is going to take a negative headline regarding brexit OR some serious profit taking from early bulls.
Ideas: short if momentum stalls or zone is rejected.
long on a retrace if not already long.
Trade safe.