Identification: EURGBP has been making higher highs, indicating a bullish trend. A trend line was broken briefly, but then back to being respected on a later touch. Previous structure high was broken for more than a week ago, and the pair has been consolidating recently.
Prediction: The market will want to fill new orders by pushing down into previous structure...
Looks like it is breaking out long. I am in this trade, however, I am also prepared that it is a fakeout and that the true move is short (seeing as that's where the overall big trend should be going.
If it is indeed going long, then it is using its last fumes for a push up before it sells off very, very far. (Looks weekly trend line)
Trend line passed but it has stopped at previous support once already. If it bounces from support again, I am looking to go LONG!
Swing trade, so thinking of putting a very large stop loss, because I don't want to get quickly stopped out, and then lose the trade.
Please tell me what you think, or if you have other thoughts. Cheers!
The support trend line has shown to last several touches. In addition to that, this projected lower high is also touching a decent resistance/support from months earlier. I put my stop loss above the prize reversal zone.
I am putting a VERY low risk on this, considering it is friday too.