GBPUSD short term Shorts to 1.22000
GBPUSD has a similar bias to EU so im also currently looking for a sell setup to form to take price down towards an area of demand. This counter trend trade will allow us to catch a move before we end up buying alongside the bullish order flow at around the 1.22000 mark.
Scenario (A) - Price is currently reacting off our 6hr supply zone that we have marked out, this is were im expecting for price to fully complete a wyckoff distribution schematic and change character. As there has been an impulsive move to the upside it has left imbalances that im expecting to get filled. This will be a retracement as price has already expanded to the upside.
Scenario (B) - Is that price will continue to push higher and fail this zone to then mitigate the imbalance that is sitting just below the 9hr supply. From there, my next AOI will be at that level of supply to sell at a more premium price.
My confluences for GBPUSD shorts are as follows:
- Overall trend on the HTF (weekly/monthly) is bearish.
- Price tapped in to a 6hr supply zone and there is a daily supply just above.
- Momentum is slowing down expecting price to distribute and choch to the downside.
- Imbalances were left below due to NFP news so im expecting it to get filled via a pullback.
- For price to continue in its recent bullish trend im expecting price to come back to those demand levels below at 1.22000.
P.S. Either way the purporse behind these short term sells is to ride price back down towards areas of demand like the 6hr or the 1hr and then buy from there. This bias is also backed by the dollar index as you can see in that analysis post.
Scenario (A) - Price is currently reacting off our 6hr supply zone that we have marked out, this is were im expecting for price to fully complete a wyckoff distribution schematic and change character. As there has been an impulsive move to the upside it has left imbalances that im expecting to get filled. This will be a retracement as price has already expanded to the upside.
Scenario (B) - Is that price will continue to push higher and fail this zone to then mitigate the imbalance that is sitting just below the 9hr supply. From there, my next AOI will be at that level of supply to sell at a more premium price.
My confluences for GBPUSD shorts are as follows:
- Overall trend on the HTF (weekly/monthly) is bearish.
- Price tapped in to a 6hr supply zone and there is a daily supply just above.
- Momentum is slowing down expecting price to distribute and choch to the downside.
- Imbalances were left below due to NFP news so im expecting it to get filled via a pullback.
- For price to continue in its recent bullish trend im expecting price to come back to those demand levels below at 1.22000.
P.S. Either way the purporse behind these short term sells is to ride price back down towards areas of demand like the 6hr or the 1hr and then buy from there. This bias is also backed by the dollar index as you can see in that analysis post.
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