It is over 250pips move in our direction since my last publication (see link below for reference purposes) and the appearance of a strong reversal pattern (Double Bottom) at this juncture in the market suggest a trend reversal is unfolding as price continue to find higher-high since hitting a bottom @ $1.36000 a couple of times.
The British pound spiked a bit on the last day of last week trading session to recapture the $1.37500 handle. Even though we are still trying to figure out where to go in the longer term from this juncture; from a technical point of view it appears we are on the verge of breaking out of key level @ $1.37500 to find new highs in the coming week(s).
Tendency: Uptrend (Bullish)
Structure: Supply & Demand | Reversal pattern (Double Top)
Observation: i. It is obvious that the Pound has been on a steady growth since March 2020 (see weekly chart) and since hitting a peak @ $1.4200, the price plunged - a feat that can be regarded as a correction phase.
ii. The inability of sellers to push the price below the $1.3600 level in the last 6 weeks insinuate that there still exist in the market those who believe in the Pound sterling.
iii. Supporting this view is the appearance of a Double Bottom set-up at this juncture which describes a possible change in trend and a momentum reversal from prior leading price action as I anticipate Breakout/Retest of the Neckline @ $1.39500 for further confirmation of a bullish bias.
iv. Going into the new week, above of Key level (Breakout/Retest) shall remain my yardstick to take on a position for a rally continuation with options to add to the position above Neckline... Trade consciously!😊
Trading plan: BUY confirmation with a minimum potential profit of 300 pips.
Risk/Reward: 1:5
Potential Duration: 5 to 12days
NB: This speculation might be considered to make individual decisions on the lower timeframe.
Watch this space for updates as price action is been monitored.
Risk Disclaimer:
Margin trading in the foreign exchange market (including commodity trading, CFDs, stocks 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.
The British pound spiked a bit on the last day of last week trading session to recapture the $1.37500 handle. Even though we are still trying to figure out where to go in the longer term from this juncture; from a technical point of view it appears we are on the verge of breaking out of key level @ $1.37500 to find new highs in the coming week(s).
Tendency: Uptrend (Bullish)
Structure: Supply & Demand | Reversal pattern (Double Top)
Observation: i. It is obvious that the Pound has been on a steady growth since March 2020 (see weekly chart) and since hitting a peak @ $1.4200, the price plunged - a feat that can be regarded as a correction phase.
ii. The inability of sellers to push the price below the $1.3600 level in the last 6 weeks insinuate that there still exist in the market those who believe in the Pound sterling.
iii. Supporting this view is the appearance of a Double Bottom set-up at this juncture which describes a possible change in trend and a momentum reversal from prior leading price action as I anticipate Breakout/Retest of the Neckline @ $1.39500 for further confirmation of a bullish bias.
iv. Going into the new week, above of Key level (Breakout/Retest) shall remain my yardstick to take on a position for a rally continuation with options to add to the position above Neckline... Trade consciously!😊
Trading plan: BUY confirmation with a minimum potential profit of 300 pips.
Risk/Reward: 1:5
Potential Duration: 5 to 12days
NB: This speculation might be considered to make individual decisions on the lower timeframe.
Watch this space for updates as price action is been monitored.
Risk Disclaimer:
Margin trading in the foreign exchange market (including commodity trading, CFDs, stocks 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
