GBPUSD - 20 September 2021 [Part 2]
GBPUSD - 20 September 2021
Current Market Condition:
Market Structure (MS) & Order Flow (OF):
Daily: Bullish OF but Bearish Momentum
In major structure and sub-structure we are in Bullish OF. However, price failed to put a new HH in daily sub-structure after mitigating the Daily IFC. In terms of momentum, price showing weak bullish momentum after the mitigation, the move up is relatively corrective. Therefore, price has a high chance to run the low(weak low). In the most recent PA, we found a Daily CHoCH, price is now back into bearish in the inner structure which is now align with the bearish momentum.
4H: Further Liquidation is needed to reverse the trend
Price is in Bearish OF and just broke 4H major swing low but hasn't give a decent pullback yet. Price tap into 4H major demand, we could expect the pullback of 4H bearish leg to happen from here. From the way 4H move down, we can find multiple impulsive bearish candle which indicates strong bearish momentum. Therefore, a larger scale of liquidation is needed in order to reverse the momentum/trend. However, there is insufficient liquidation to convince me that price has completed the liquidation process and want to move up.
1H/15m: Losing bearish momentum but no bullish intention found yet.
In 15m, we can see PA is now flattened, that is a sign of losing bearish momentum but still no bullish intention found yet. I want to see a 1H/15m CHoCH to confirm bullish intention in order to play a LONG from here.
Momentum:
4H: Strong Bearish momentum
1H/15m: Losing Bearish momentum
Trade Idea: Wait for price to show bullish intention for LONG
Playing a SHORT from here is not a wise choice as price is now already in discount, overextended and tapped into a major demand. However, playing a LONG isn't wise choice too as price hasn't show a bullish intention yet. Therefore, wait for bullish intention to show to play a LONG is the best choice.
Current Market Condition:
Market Structure (MS) & Order Flow (OF):
Daily: Bullish OF but Bearish Momentum
In major structure and sub-structure we are in Bullish OF. However, price failed to put a new HH in daily sub-structure after mitigating the Daily IFC. In terms of momentum, price showing weak bullish momentum after the mitigation, the move up is relatively corrective. Therefore, price has a high chance to run the low(weak low). In the most recent PA, we found a Daily CHoCH, price is now back into bearish in the inner structure which is now align with the bearish momentum.
4H: Further Liquidation is needed to reverse the trend
Price is in Bearish OF and just broke 4H major swing low but hasn't give a decent pullback yet. Price tap into 4H major demand, we could expect the pullback of 4H bearish leg to happen from here. From the way 4H move down, we can find multiple impulsive bearish candle which indicates strong bearish momentum. Therefore, a larger scale of liquidation is needed in order to reverse the momentum/trend. However, there is insufficient liquidation to convince me that price has completed the liquidation process and want to move up.
1H/15m: Losing bearish momentum but no bullish intention found yet.
In 15m, we can see PA is now flattened, that is a sign of losing bearish momentum but still no bullish intention found yet. I want to see a 1H/15m CHoCH to confirm bullish intention in order to play a LONG from here.
Momentum:
4H: Strong Bearish momentum
1H/15m: Losing Bearish momentum
Trade Idea: Wait for price to show bullish intention for LONG
Playing a SHORT from here is not a wise choice as price is now already in discount, overextended and tapped into a major demand. However, playing a LONG isn't wise choice too as price hasn't show a bullish intention yet. Therefore, wait for bullish intention to show to play a LONG is the best choice.
Comment:
There is another refined POI (Unmitigated 5m S2D) within the 4H major demand, might not be strong but worth keeping eyes on it.
