WARNING! My chart is naked.... (GBPUSD 6/4 breakdown)
As we are mid session I don't want to spend to much time typing, but I'll do my best to break this down.
It all starts with our HIGHER time frame target.
My target is 1.2640-1.2660...Why? We have obvious equal highs sitting right there on the Daily and many traders will have limit orders sitting there.
So if I'm a market maker, I'm going to want to dump my position there! But that means i need to push price up first.
For that reason I am looking to BUY today, from a technical perspective we still have all vitals saying to buy GBPUSD, I think NFP will be the climactic move tomorrow.
So, if I'm looking to buy today where is a good place to look? For me I'm looking where there is bank volume, and where traders have stop losses. That's it.
If you go to a 4h chart you will see we had a bearish candle that got blown out right after it closed. That is heavy bank buying activity.
I took the open and close of that bearish candle and used it's body as a bullish zone. (purple)
THE MARKET GIVES CLUES!
Just above that purple zone the market blessed us with perfectly equal lows right around 1.2525 (grey line) I've also drawn a yello block that says retail stops, this gives a clue we should be buying as many traders look to sell a break of those lows.
THE REASON FOR ENTRY
1) Banks do things primarily at opens and closes. Today's UK open is when we drop under those equal lows and began a stop hunt/trap move
2) We had a bullish shark pattern complete right where our bullish 4h zone is. This is good confluence.
My entry 1.2515.
STILL A LONG WAY TO GO
The next key level to watch is 1.2540, there was alot of bearish volume developed during Asia session, if we can break above that level and have a close maybe 15 pips above, I'll look to buy the potential retest during NY open.
Right now I have slid my SL up so my risk has been cut about half. BUT this idea, if valid, price shouldn't drop below the grey line during today's session because we are looking for the banks to keep those triggered orders from the open TRAPPED.
Entry #1 - 1.2525 - 5:1 R/R
It all starts with our HIGHER time frame target.
My target is 1.2640-1.2660...Why? We have obvious equal highs sitting right there on the Daily and many traders will have limit orders sitting there.
So if I'm a market maker, I'm going to want to dump my position there! But that means i need to push price up first.
For that reason I am looking to BUY today, from a technical perspective we still have all vitals saying to buy GBPUSD, I think NFP will be the climactic move tomorrow.
So, if I'm looking to buy today where is a good place to look? For me I'm looking where there is bank volume, and where traders have stop losses. That's it.
If you go to a 4h chart you will see we had a bearish candle that got blown out right after it closed. That is heavy bank buying activity.
I took the open and close of that bearish candle and used it's body as a bullish zone. (purple)
THE MARKET GIVES CLUES!
Just above that purple zone the market blessed us with perfectly equal lows right around 1.2525 (grey line) I've also drawn a yello block that says retail stops, this gives a clue we should be buying as many traders look to sell a break of those lows.
THE REASON FOR ENTRY
1) Banks do things primarily at opens and closes. Today's UK open is when we drop under those equal lows and began a stop hunt/trap move
2) We had a bullish shark pattern complete right where our bullish 4h zone is. This is good confluence.
My entry 1.2515.
STILL A LONG WAY TO GO
The next key level to watch is 1.2540, there was alot of bearish volume developed during Asia session, if we can break above that level and have a close maybe 15 pips above, I'll look to buy the potential retest during NY open.
Right now I have slid my SL up so my risk has been cut about half. BUT this idea, if valid, price shouldn't drop below the grey line during today's session because we are looking for the banks to keep those triggered orders from the open TRAPPED.
Entry #1 - 1.2525 - 5:1 R/R
Comment:
If it makes a new intra day low and shows divergence I'll still be looking to buy. ECB conference is at 8:30am
Comment:
potential entry on the 15 min or less charts, price is now hitting the volume from Asia and completing a BULLISH 5-0. possible entry
I have to go to my f*cking 9-5 so I can't partake....fml
I have to go to my f*cking 9-5 so I can't partake....fml