Price moved 130pips in our direction before rejecting our previous key level ($1.28700) followed by an engulfing Bullish run in the later part of the week to negate previous bias (see link below for detailed reference purposes). Following the EU Summit on Thursday and Friday (a critical moment to reach a Brexit deal ), the Pound turned around during the week to show signs of strength as both Brexit talks and the US fiscal stimulus situation incited a dominating trend for the Cable, with high tendency of pushing the pair higher in the following week(s) as selloffs continue for the Greenback.
Tendency: Uptrend (Bullish)
Structure: Reversal pattern (Inverse Head and Shoulder)| Breakout expectations
Observation: i. Since the fall of price action from the beginning of the month, price found a reversal structure with bullish momentum accumulating to fulfill neckline Breakout.
ii. Key level @ $1.30000 remains a major Resistance with a strong indication that it will be broken and retested to make a new Support in the coming week.
iii. Our Inverse H & S structure points at a completion of a full trend reversal pattern with engulfing candle Breaking out of Neckline in the latter part of last week.
iv. Looking forward to Neckline Breakout and Retest.
Trading plan: BUY confirmation with a minimum potential profit of 500 pips.
Risk/Reward: 1:3
Potential Duration: 5 to 12 days
NB: This speculation can be considered to make decisions on lower timeframes.
Watch this space for updates as price action is been monitored.
Risk Disclaimer:
Margin trading in the foreign exchange market (including foreign exchange trading, CFDs, etc.) has a high risk and is not suitable for all investors. The content of this speculation (including all data) is organized and published by me for the sole purpose of education and assistance in making independent investment decisions. All information herein is for your reference only and I take no responsibility.
You are hereby advised to carefully consider your investment experience, financial situation, investment objective, risk tolerance level, and consult your independent financial adviser as to the suitability of your situation prior to making any investment.
I do not guarantee its accuracy and is not liable for any loss or damage which may result directly or indirectly from such content or the receipt of any instruction or notification therewith.
Past performance is not necessarily indicative of future results.
Tendency: Uptrend (Bullish)
Structure: Reversal pattern (Inverse Head and Shoulder)| Breakout expectations
Observation: i. Since the fall of price action from the beginning of the month, price found a reversal structure with bullish momentum accumulating to fulfill neckline Breakout.
ii. Key level @ $1.30000 remains a major Resistance with a strong indication that it will be broken and retested to make a new Support in the coming week.
iii. Our Inverse H & S structure points at a completion of a full trend reversal pattern with engulfing candle Breaking out of Neckline in the latter part of last week.
iv. Looking forward to Neckline Breakout and Retest.
Trading plan: BUY confirmation with a minimum potential profit of 500 pips.
Risk/Reward: 1:3
Potential Duration: 5 to 12 days
NB: This speculation can be considered to make decisions on lower timeframes.
Watch this space for updates as price action is been monitored.
Risk Disclaimer:
Margin trading in the foreign exchange market (including foreign exchange trading, CFDs, etc.) has a high risk and is not suitable for all investors. The content of this speculation (including all data) is organized and published by me for the sole purpose of education and assistance in making independent investment decisions. All information herein is for your reference only and I take no responsibility.
You are hereby advised to carefully consider your investment experience, financial situation, investment objective, risk tolerance level, and consult your independent financial adviser as to the suitability of your situation prior to making any investment.
I do not guarantee its accuracy and is not liable for any loss or damage which may result directly or indirectly from such content or the receipt of any instruction or notification therewith.
Past performance is not necessarily indicative of future results.
Trade smart. Trade consciously
