GBPUSD: Bull flag pattern ending soon
There are excellent chances of GBPUSD breaking to the upside in the current move or the next one. GBP has been strong versus most other FX pairs today and is nearing the end, versus the USD, on its Bullish Flag Pattern.
I am going to be trading a breakout here, I will not jump into the trade and will wait for clearer sings that the actual breakout has happened which should be anytime from now to the next few hours.
I have a small short position at the peak of the last candle but I am ready to change the direction of my trade if the breakout is valid.
I still believe there is not enough bulls to push it at the moment but I can be wrong.
PLAN A: Selling GBPUSD as a scout trade to the 1.280 area then wait for the right moment to buy/sell a break out.
PLAN B: Close the short (temporary) position and long GBPUSD if the breakout is valid.
I am going to be trading a breakout here, I will not jump into the trade and will wait for clearer sings that the actual breakout has happened which should be anytime from now to the next few hours.
I have a small short position at the peak of the last candle but I am ready to change the direction of my trade if the breakout is valid.
I still believe there is not enough bulls to push it at the moment but I can be wrong.
PLAN A: Selling GBPUSD as a scout trade to the 1.280 area then wait for the right moment to buy/sell a break out.
PLAN B: Close the short (temporary) position and long GBPUSD if the breakout is valid.
Comment:
gbpusd is still on a bull run from the breakout of the bullish flag pattern. I remain bullish till 1.29
Comment:
1.29 has now been reached!
This is a strong SMPI level (Sub-Mathematical Point of Interest) which could be a resistance, but, I am looking at this pair as still bullish! we have a 3 higher lows pattern on the 1 hour chart and the daily pivot has already been used as a support.
There are just too many indications GBPUSD will head higher, but I need you to be wary of the strong USD as the USDX is indicating it will be bullish.
This is a strong SMPI level (Sub-Mathematical Point of Interest) which could be a resistance, but, I am looking at this pair as still bullish! we have a 3 higher lows pattern on the 1 hour chart and the daily pivot has already been used as a support.
There are just too many indications GBPUSD will head higher, but I need you to be wary of the strong USD as the USDX is indicating it will be bullish.
Trade closed manually:
Trade is closed in profit.
WATCH OUT: USD is strong at the moment.