The British Pound appears to be staging a recovery since finding a bottom at Fr1.25000. The appearance of a Double Bottom within a strong Demand zone (Fr1.25000) which have a holding memory since July 2021 signals a rally should price Breakout/retest our Neckline (Key level @ Fr1.26000) in the coming week(s).
Tendency: Uptrend (Bullish)
Structure: Supply & Demand | Trendline | Reversal pattern (Double Bottom)
Observation: i. It has been a Bearish run for the Pound since mid-September 2021.
ii. The trend can easily be recognized after connecting a series of pivot highs together since the 20th of September 2021.
iii. Trendline: The visual representation of a line drawn over pivot highs reveals the prevailing direction and speed of price action in the last couple of weeks. However, the price inability to break below Fr1.25000 during last week trading sessions says a lot about the preference of the majority in the market as indecision increases regarding selling the Pound for the Swissy.
iii. Double Bottom: The appearance of an extremely bullish technical reversal pattern within a zone that has continue to be a critical spot for the high demand of the Pound (since July 2021) gives more credibility to my Bullish bias.
iv. Completion of the reversal pattern is confirmed at Breakout/Retest of Neckline, a zone that also serves as a Key level.
v. The early hours/days of the new week might see a plunge into the Fr1.25600 zone (represented on the chart in blue) before the rally continues.
vi. This been said and as I continue to look forward to a successful breakout of Bearish trendline, above Key level @ Fr1.26000 remains a window to take advantage of the potential rally in the coming week(s)... Trade consciously!😊
Trading plan: BUY confirmation with a minimum potential profit of 200 pips.
Risk/Reward: 1:4
Potential Duration: 7 to 14days
NB: This speculation might be considered to make individual decisions on the lower timeframe.
Watch this space for updates as price action is been monitored.
Risk Disclaimer:
Margin trading in the foreign exchange market (including commodity trading, CFDs, stocks etc.) has a high risk and is not suitable for all investors. The content of this speculation (including all data) is organized and published by me for the sole purpose of education and assistance in making independent investment decisions. All information herein is for your reference only and I take no responsibility.
You are hereby advised to carefully consider your investment experience, financial situation, investment objective, risk tolerance level, and consult your independent financial adviser as to the suitability of your situation prior to making any investment.
I do not guarantee its accuracy and is not liable for any loss or damage which may result directly or indirectly from such content or the receipt of any instruction or notification therewith.
Past performance is not necessarily indicative of future results.
Tendency: Uptrend (Bullish)
Structure: Supply & Demand | Trendline | Reversal pattern (Double Bottom)
Observation: i. It has been a Bearish run for the Pound since mid-September 2021.
ii. The trend can easily be recognized after connecting a series of pivot highs together since the 20th of September 2021.
iii. Trendline: The visual representation of a line drawn over pivot highs reveals the prevailing direction and speed of price action in the last couple of weeks. However, the price inability to break below Fr1.25000 during last week trading sessions says a lot about the preference of the majority in the market as indecision increases regarding selling the Pound for the Swissy.
iii. Double Bottom: The appearance of an extremely bullish technical reversal pattern within a zone that has continue to be a critical spot for the high demand of the Pound (since July 2021) gives more credibility to my Bullish bias.
iv. Completion of the reversal pattern is confirmed at Breakout/Retest of Neckline, a zone that also serves as a Key level.
v. The early hours/days of the new week might see a plunge into the Fr1.25600 zone (represented on the chart in blue) before the rally continues.
vi. This been said and as I continue to look forward to a successful breakout of Bearish trendline, above Key level @ Fr1.26000 remains a window to take advantage of the potential rally in the coming week(s)... Trade consciously!😊
Trading plan: BUY confirmation with a minimum potential profit of 200 pips.
Risk/Reward: 1:4
Potential Duration: 7 to 14days
NB: This speculation might be considered to make individual decisions on the lower timeframe.
Watch this space for updates as price action is been monitored.
Risk Disclaimer:
Margin trading in the foreign exchange market (including commodity trading, CFDs, stocks etc.) has a high risk and is not suitable for all investors. The content of this speculation (including all data) is organized and published by me for the sole purpose of education and assistance in making independent investment decisions. All information herein is for your reference only and I take no responsibility.
You are hereby advised to carefully consider your investment experience, financial situation, investment objective, risk tolerance level, and consult your independent financial adviser as to the suitability of your situation prior to making any investment.
I do not guarantee its accuracy and is not liable for any loss or damage which may result directly or indirectly from such content or the receipt of any instruction or notification therewith.
Past performance is not necessarily indicative of future results.
Trade smart. Trade consciously
