GBPUSD Analysis 28/11/14

FX:GBPUSD   British Pound/U.S. Dollar
141 0 0
Long term trend: Up
Medium term trend: Down
Significant Levels: 1.5920 (Horizontal Resistance), 1.5590 (Horizontal Support), Downtrend Line

We can see in the chart that the trend line was respected by the market and currently, the market is going down. Bears are still in control on this pair therefore, placing short trades is our only option here.

Yesterday's candlestick is not a convincing bearish bar. Though it rejected the trend line , it does not show a strong bearish sign. This means that we could see a retesting of the trend line again.

As the price goes down towards the support, we could witness a strong move down again near the support area . That is if the price breaks the support line. But again, we are not trading the breakouts, we are only going to trade the retracements after the breakout. Therefore, if the breakout happened below the support line, we will place our trade if the price retraced back to the support-turned-resistance, provided that the price formed a bearish action.

Trade well.
Ideas Scripts Chart
United States
United Kingdom
Home Stock Screener Forex Signal Finder Economic Calendar How It Works Chart Features House Rules Moderators For the WEB Widgets Stock Charting Library Priority Support Feature Request Blog & News FAQ Help & Wiki Twitter
Private Messages Chat Ideas Published Followers Following Priority Support Public Profile Profile Settings Account and Billing Sign Out