GBPUSD: Looks like bears are trapped! (Requested by millanoeli)
Main analysis is from the Daily chart. Price surged up from a month long divergence, and then a 50% retracement is not uncommon. We should expect price to continue going higher but yesterday's big red candle (BRD) seemed to have trapped the bulls!
If today ends up to be a doji, then we can expect an up day tomorrow. Plus, price is currently at a support level, although it's quite a big range.
Drilling to 4H chart, we can still see weakness. This means we can expect a better entry if price does sell off to the bottom of the support range.
Entry & Stop Loss are placed based on 1H chart.
TP1 based on resistance at 4H.
Not the best R/R. Will have to really watch to time the entry for better R/R.
Disclaimer: I'm not giving any trading and investing advice. I'm just sharing my chart observations.
If you have any symbols that you'd like me to analyze, feel free to drop me a comment.
If today ends up to be a doji, then we can expect an up day tomorrow. Plus, price is currently at a support level, although it's quite a big range.
Drilling to 4H chart, we can still see weakness. This means we can expect a better entry if price does sell off to the bottom of the support range.
Entry & Stop Loss are placed based on 1H chart.
TP1 based on resistance at 4H.
Not the best R/R. Will have to really watch to time the entry for better R/R.
Disclaimer: I'm not giving any trading and investing advice. I'm just sharing my chart observations.
If you have any symbols that you'd like me to analyze, feel free to drop me a comment.
Comment:
argh! Calculated the drop wrongly.
New entry: 1.3620
SL: 1.3565
New entry: 1.3620
SL: 1.3565
Trade closed: target reached
Since there's divergence at 1H chart, let's do it!