GBPUSD Long towards 1.22800 (possibly higher)
For today's GU breakdown I will be looking for buys from current price as it has tapped in a nice 6hr demand zone that has caused a BOS to the upside. As we have seen from last week's GU analysis we did anticipate scenario (A) to play out and it did so perfectly. Now, we are looking for buys back up as it has filled in the major imbalances left from before.
On Monday I will be looking for a clean entry where I can continue this trend that GU has set to the upside, possibly causing another rally to the upside and a new BOS. In addition to this, the zone also lies between the 0.78 fib range which is a good confluence that price will respect this AOI. As this is an uptrend I can also expect price to push past the 11hr supply (where the take profit target is) and mitigate the extreme supply above it.
Confluences for GBPUSD Longs are as follows:
- 6hr demand zone lies between the 0.78 range on the fib tool.
- Demand zone has also broken structure to the upside following short term bullish trend.
- Price has completed a wyckoff accumulation schematic and CHOCH'd to the upside.
- Lots of liquidity lying above i.e. asian highs and imbalances that need to be filled.
- Dollar index also looking bearish as well good confluence for GU to then push upwards.
- A lot of rejection candles inside zone as well as a consolidation (good sign that price is going to respect that POI.)
P.S. I am still temporarily bullish, but my overall bias is bearish (looking at the monthly/weekly time frames.) Price has also slowed down and sells are getting exhausted hence the consolidation In our POI. I would be looking to see how this plays out on Monday before CPI, then re assess my next potential trading setups for the rest of the week.
On Monday I will be looking for a clean entry where I can continue this trend that GU has set to the upside, possibly causing another rally to the upside and a new BOS. In addition to this, the zone also lies between the 0.78 fib range which is a good confluence that price will respect this AOI. As this is an uptrend I can also expect price to push past the 11hr supply (where the take profit target is) and mitigate the extreme supply above it.
Confluences for GBPUSD Longs are as follows:
- 6hr demand zone lies between the 0.78 range on the fib tool.
- Demand zone has also broken structure to the upside following short term bullish trend.
- Price has completed a wyckoff accumulation schematic and CHOCH'd to the upside.
- Lots of liquidity lying above i.e. asian highs and imbalances that need to be filled.
- Dollar index also looking bearish as well good confluence for GU to then push upwards.
- A lot of rejection candles inside zone as well as a consolidation (good sign that price is going to respect that POI.)
P.S. I am still temporarily bullish, but my overall bias is bearish (looking at the monthly/weekly time frames.) Price has also slowed down and sells are getting exhausted hence the consolidation In our POI. I would be looking to see how this plays out on Monday before CPI, then re assess my next potential trading setups for the rest of the week.