After been pressured down for some time now, mostly for bad inflation numbers and a big political uncertainty around Brexit talks, the GBPUSD reached now an important support area where we could expect at least a bounce higher or a deeper correction at. Last Friday we got a strong bullish engulfing candle on daily TF, that was mostly based on weak USD after the comments from Trump about how unhappy he is about the rate hikes from the FED. The RSI is also making a bullish divergence and the daily TF.
In the comment section below i will share the 4H TF for possible entry and entry triggers.
In the comment section below i will share the 4H TF for possible entry and entry triggers.
Comment:
GU found support at previous structure and 38,2 fibo, and seems willing to test the MPP area.
Below you see that on the 4H TF we broke above previous high after a strong move started from Monthly S1, the idea is to now look for the correction down to find bullish evidence on 1-4 H TF to find an entry long. The best area and if tested that would be the daily S1 and 61,8 fib correction, just below that we do have the monthly S1 another powerful powerfull pivot point support. A less interesting but very possible support is the DPP of today at the 38,2 fibo.