Hello Traders!
Markets are about to open and I am about to present my final piece of analysis for the weekend,
Here we have GBP/USD, as we can see there is a strong descending channel which has held for over a 16 months, with this in mind I think that we could see a short position play out and a move to the downside could come in the next day or so.
My reasoning behind this is the price is now up and has rejected the upper trendline of the descending channel, we are also starting to form a nice flag/wedge which will provide us with the information behind where price wants to move, we now just need to wait for this confirmation to play out and then we can place the trade!
As an additional piece of confirmation the RSI is also indicating it is extremely overbought.
Hope you all enjoyed this analysis! If so a like is greatly appreciated and any feedback would be incredible!
Many thanks,
Freddie (UltraFX)
DISCLAMER:
I (UltraFX) am not providing any signals or any financial information, I am merely providing my thoughts. Any user using this information uses it at their own risk.
Markets are about to open and I am about to present my final piece of analysis for the weekend,
Here we have GBP/USD, as we can see there is a strong descending channel which has held for over a 16 months, with this in mind I think that we could see a short position play out and a move to the downside could come in the next day or so.
My reasoning behind this is the price is now up and has rejected the upper trendline of the descending channel, we are also starting to form a nice flag/wedge which will provide us with the information behind where price wants to move, we now just need to wait for this confirmation to play out and then we can place the trade!
As an additional piece of confirmation the RSI is also indicating it is extremely overbought.
Hope you all enjoyed this analysis! If so a like is greatly appreciated and any feedback would be incredible!
Many thanks,
Freddie (UltraFX)
DISCLAMER:
I (UltraFX) am not providing any signals or any financial information, I am merely providing my thoughts. Any user using this information uses it at their own risk.
Comment:
Trade is now + 40 pips, you are able to take a profit and close the trade now as it is at a good point now, you may also want to keep the trade running to see if it continues the downward trend.