IF/WHEN GBPUSD reverses and heads into an uptrend I have set a buy stop to be ready. I forsee the weekly timeframe forming a large M structure out of a larger W. At this point the M would be in the middle point or the B point of an XABCD harmonic. I came to this conclusion through seeing the downward pressure slow and weaken. Shorter lows and higher highs. There is no guarantee that this is the beiginning of a reversal although these higher lows and higher highs would be the first indication of such. The next confirmation for an uptrend would be a break of the downward trendline touching the past highs on the daily timeframe as price has made its way downwards.
Comment:
Im hoping a whipsaw upwards doesnt jump up and enter me into the trade although this is possible.
Trade closed: stop reached:
So exactly what I didnt what to happen is what happened. Beautiful. lesson learned= be more patient and wait for trend reversal confirmations.