Traders are now aware of the April 12th deadline and that it will be extended into May if Parliament passes Prime Minister May's deal she made with the EU earlier in the month. However, the last deal she presented to Parliament lost by a staggering 150 votes. That's quite a bit to make up in 20 days. And what traders are probably not pricing in yet is the...
To illustrate today's analysis, I propose a model of statistical discrepancy on currencies, in order to justify who is the real leader of the financial markets, which seem to accuse a global pre-slowdown of the financial markets. So I gathered a basket of generally aggressive currencies to which I oppose them to a basket of defensive currencies; After algebraic...
MACD & RSI divergence for a short.
Note: GBP index reached the Elliot wave 5 (27/2/2019) but RSI not beyond 70. The Candle Stick is at Upper Bolliger band.
I predict GBP index will correct down from the Symmetry wave III to IV.
My main focus for signals is a bearish divergence on the MACD and RSI.
At the new TOP, RSI is not beyond 70.
Bolliger Band is not plugged deeply at wave V. Maybe GBP index has rejected a break for an uptrend and corrected continue.
Look left, when Price was Deeply plugged into Bolliger band & High MACD, the price would be retest TOP or a new TOP.
At presents, the same things happen.
Thus, I predict GBP index will uptrend again. Next target is at Elliot wave 5.
If Elliot wave 5 occurs a MACD divergence, she will go down.
GBP broke out of the first falling wedge (blue) heading for the bigger falling wedge. Target of a falling wedge is 100% retracement of the wedge. So breakout of the yellow trendline sets this up for a moonshot. I have euro and chf as counterpairs.
I am not one to study the news and we all know that Brexit is a mess. I don't study the Brexit play-by-play because by the time news drops it is usually too late in my opinion. Every trader sees the market different. That is just my outlook. I am a very technical based analyzer.
In my opinion Brexit can create more strength or more weakness and uncertainty like...
as we are purely technical , we only look at what the chart tell us . and in this case we can see that there is a divergence on the weekly chart with the price sitting on a major support area, with rsi oversold.
reasons to look for ling on the pound ( position trading as this analysis is based on the weekly chart)
2- strong support