GBPUSD - Decision point. Price at trendline and Kumo support
This is an interesting chart too. The big question here if the Cable can resume its bullish trend or not?
Daily: Price is at Kumo and at trendline support. At mom it looks like 1,6920-1,6940 is an equilibrium price. There is some bearish tone in Ichimoku components: Tenkan/Kijun is weak bearish, and Chikou Span dipped below price candles. What is more interesting here is DMI, which during this latest correction has become bearish, with ADX climbing. Well, from here hard to decide, anything can happen. My advise is don't touch it. Don't touch it even if it breaks below the trendline and the Kumo, since for a real long term bearish trend it will also need to clear the previous support below the cloud, which is ard 1,6780. Given the Slow Stoch, even if price penetrates the bullish trend, I think we will see a pull back to the cloud first, before it starts to develop a new bearish trend.
4 Hrs: Still Bearish, but ADX is bit too high, and Slow Stoch is oversold.
Advise: Watch only, maybe close your counter trend shorts if you have not yet closed it already.
Daily: Price is at Kumo and at trendline support. At mom it looks like 1,6920-1,6940 is an equilibrium price. There is some bearish tone in Ichimoku components: Tenkan/Kijun is weak bearish, and Chikou Span dipped below price candles. What is more interesting here is DMI, which during this latest correction has become bearish, with ADX climbing. Well, from here hard to decide, anything can happen. My advise is don't touch it. Don't touch it even if it breaks below the trendline and the Kumo, since for a real long term bearish trend it will also need to clear the previous support below the cloud, which is ard 1,6780. Given the Slow Stoch, even if price penetrates the bullish trend, I think we will see a pull back to the cloud first, before it starts to develop a new bearish trend.
4 Hrs: Still Bearish, but ADX is bit too high, and Slow Stoch is oversold.
Advise: Watch only, maybe close your counter trend shorts if you have not yet closed it already.
