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fash
Dec 16, 2015 6:12 PM

EUR/GBP to 78/79? Long

Euro Fx/British PoundFXCM

Description

What's not to like about this pair long?

Not quite a triple bottom but close enough for me, higher swing low should be alerting traders to the possibilities here and most importantly (for me), a sustained break and hold of the key 72 area. A bit premature but a H & S forming too. Neckline at 7420. Targets the 79 area if completed. Personally I'd be happy with 77.50-78.

Fundamentals appear to support this view for now, UK data not been great of late and BoE have recently dampened hiking talk whilst ECB have stood still...thus narrowing divergence in monetary policy expectations.

Stops above 73 now look vulnerable and could propel us to 74 in a hurry
Comments
P_Parker
Hi, I would trade it like that if it is a Change in Trend Direction. Around the Entry Point I would look for RSI Divergence in daily or at least 4 Hour Chart:

Good Luck
fash
That is one way of doing it P, probably safer too.

EUR/GBP typically likes to stall between the 61.8-78.6% on larger TF's. Stops should be placed accordingly

Good luck, I will follow u, we'll speak again!
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