I have highlighted 2 possible setups on the pair.
Setup A - This will see the market continue in the trend to the downside. For this setup I will be looking for the market to pullback to the level of resistance in the chart before looking to pull the trigger. We will be looking left to structure in the chart as targets. If this setup starts to short it will more than likely make a double bottom on the higher time frames.
Setup B - This will be my favoured setup to be fair, this will line up with higher time frame structure that suggests a log trade is well overdue. Looking at the breakout on the pair and the weakness across the board on GBP this is suggesting that the market makers are shorting the GBP as a whole this may just be to get a discounted rate for the month before longing the pair.
Setup A - This will see the market continue in the trend to the downside. For this setup I will be looking for the market to pullback to the level of resistance in the chart before looking to pull the trigger. We will be looking left to structure in the chart as targets. If this setup starts to short it will more than likely make a double bottom on the higher time frames.
Setup B - This will be my favoured setup to be fair, this will line up with higher time frame structure that suggests a log trade is well overdue. Looking at the breakout on the pair and the weakness across the board on GBP this is suggesting that the market makers are shorting the GBP as a whole this may just be to get a discounted rate for the month before longing the pair.
