Sell EURGBP on price action bounce off Kijun and long term support.
EUR_GBP: Euro will not go down just yet, as any given structure, it has to break the structure to move higher and has to move higher to go lower. Euro will need 1 more move up before finally go down.
If we break upwards of the triangle forming expect to move higher. If we break and close below the support area in green, price will fall to the targets.
EURGBP is approaching our first support at 0.8724 (horizontal swing low support, 100% Fibonacci extension, 76.4% Fibonacci retracement) and a strong bounce might occur above this level pushing price up to our major resistance at 0.8855 (horizontal pullback resistance, 50%, 38.2% Fibonacci retracement, 100% Fibonacci extension). Stochastic (89,5,3) is also...
EURGBP Sell Idea @ Weekly Supply Zone (0.91630 - 0.93064) Sell Limit: 0.91581 Stop Loss: 0.93114 Take Profit: 0.89293 Risk Management = 0.01/$100 Close partially the contract once it reaches 50% of profit, Move stop loss over the entry level Close partially the contract once it reaches 80% of the profit
EURGBP Sell Idea @ Daily Supply Zone (0.88486 - 0.88962) Sell Limit: 0.88483 Stop Loss: 0.89019 Take Profit: 0.87595
Descending channel resistance + .0.382 Fibonacci retracement. PL ratio: 1.64
We can see that the GBP has gained a lot of strength in the past couple of days, something also backed by positive economic date. From a technical standpoint right now we could be seeing one more wave to the downside should my wave count be correct. Looking at the bigger picture I believe we could be in a FLAT or EXPANDED ABC Correction. I'll post a screenshot...
Reasoning: 1) Waiting for the pair to move a little higher till it retests the still fresh supply zone 2) Wait for a bearish signal and enter the short side 3) TP target of around 200 pips (set at confluence between past support pivot + 78.6 Fib level + fresh demand zone) 4) Bearish RSI Divergence which is why I think the pair will be moving downwards really soon
testing a new structure highs, going for short position, SL above the highest high. have a nice day
I think there is a small room to the upside before seeing how this channel's fate will develop.