EURGBP Aiming For 2023 Highs Or 2024 Lows?!?Here on OANDA:EURGBP , Price has been ranging relatively closely for the past couple months which seems to have begun to form an Ascending Triangle underneath a potentially strong Resistance Zone that formed Fall of 2023!
Now Ascending Triangles, over time, continue to rise Price into an area of Resistance until which that zone can no longer hold the Buying Pressure building up underneath and leads to a Bullish Breakout of the Horizontal Resistance zone.
Once Validated, this Price Action can lead to Long Opportunities as a Breakout and Retest of that Resistance Zone to which traders will want to see if it turns Support!
Statistics also show that Triangle Patterns tend to fail 1/3 of the time, so we must also consider the possibility that the Selling Pressure that could be at the Horizontal Resistance Zone helping form the Ascending Triangle, could overcome Bulls, creating a False Breakout and push Price down using the Rising Support of the Ascending Triangle as a potential Shorting Opportunity.
Now both Scenarios have Price Targets at the next levels of Resistance or Support depending upon which way we get a Breakout!
**Waiting for a Valid Breakout of a pattern can raise the success rate immensely! Patience Pays.
