EURGBP short play off of the 0.9088 level
Price is testing the 0.9088 level. We've seen price trade both above and below this level since mid-July. Based on the current price action, we're observing weakness on the upside. Here's the run down on the two labels:
1. Price previously held supported and broke below this level. This has trapped quite a few traders who have shorted this break lower as it quickly reversed.
2. Notice that it failed to make a higher high. In fact, it reached the previous intraday resistance and then began selling off again. Given how quickly price has broken below this level, this support is weakening. We are looking to short on the next possible pullback opportunity just to optimize our entry.
Note that ideas published represent my viewpoints on structural directional movements. I do not post explicit trade parameters (i.e. entry, take profit, stop loss, etc.) as these are set to in reference with my expectancy. Since my win rate and R-multiple targets are different, ideas published are simply a resource to provide guidance. You are expected to manage your own trading decisions.
1. Price previously held supported and broke below this level. This has trapped quite a few traders who have shorted this break lower as it quickly reversed.
2. Notice that it failed to make a higher high. In fact, it reached the previous intraday resistance and then began selling off again. Given how quickly price has broken below this level, this support is weakening. We are looking to short on the next possible pullback opportunity just to optimize our entry.
Note that ideas published represent my viewpoints on structural directional movements. I do not post explicit trade parameters (i.e. entry, take profit, stop loss, etc.) as these are set to in reference with my expectancy. Since my win rate and R-multiple targets are different, ideas published are simply a resource to provide guidance. You are expected to manage your own trading decisions.
Likewise, over on the 4-hour time frame, we're seeing a nice illiquidity spike. If price holds below 0.81415, we can begin looking to enter: