I've been stalking the potential GBP long opportunity for a while, pretty much all the pairs are corelating (eg. GBPUSD,GBPJPY,GBPCAD and GBPNZD).
My personal view is that there should be a long opportunity coming up.
Reasons as follow:
1) The big short has exceeded 1.618 extension of previous trend.
2) Price is approaching Demand Zones as highlighted in BLUE colour. Big boys (investment banks, hedge fund) are likely sitting around this area to long the GBP.
3) The current price is approaching harmonic pattern as drawn on the chart with almost 0.886 retracement.
4) Media starts making noise on the GBP (eg. PM resigning, BREXIT etc)
5) RSI contradicting with trend (signal for turning point.
Trading plan:
Wait until sellers can not make new lower lows & buying force take out last buyers, then take the retracement of buy ith stop loss to recent low. If price break 1.249 this trading plan wont work. Target may be placed around 1.29 area
This trading plan is not limited to GBPUSD but also other GBP cross pairs.
I don't recommend to enter right away without any confirmations as mentioned above.
Good Luck!
regards,
Steven
My personal view is that there should be a long opportunity coming up.
Reasons as follow:
1) The big short has exceeded 1.618 extension of previous trend.
2) Price is approaching Demand Zones as highlighted in BLUE colour. Big boys (investment banks, hedge fund) are likely sitting around this area to long the GBP.
3) The current price is approaching harmonic pattern as drawn on the chart with almost 0.886 retracement.
4) Media starts making noise on the GBP (eg. PM resigning, BREXIT etc)
5) RSI contradicting with trend (signal for turning point.
Trading plan:
Wait until sellers can not make new lower lows & buying force take out last buyers, then take the retracement of buy ith stop loss to recent low. If price break 1.249 this trading plan wont work. Target may be placed around 1.29 area
This trading plan is not limited to GBPUSD but also other GBP cross pairs.
I don't recommend to enter right away without any confirmations as mentioned above.
Good Luck!
regards,
Steven
Trade active:
just took this position
Comment:
there should be another drop before the big long opportunity comes up. closed trade with some profit and wait for another long opportunity.
Trade closed manually