The market is in a range with price action lacking a firm direction and clearly waiting for a fundamental factor to drive it in either direction. The FOMC meeting tomorrow will be such a driver and we have two outcomes below along with our rationale.
Outcome 1 - Rate Hike and Bullish Press Conference - 65% Likelihood: We favour a bullish statement...
We have closed our GPB/USD trade from yesterday in profit. The reason for the close is that price action has twice rejected the 1.27000 level and we now await a break of this level to resume our buy bias.
On another failed break we will consider selling at this level as buyers maybe exhausted and the market will need to drop before buyers re-enter....
Expected bearish for the next couple of days once it hits the trendline.
Buy LONG as soon as it hits the 2.5 for a 2.13% in the next week.
I am going in with a micro lot of 0.05 without a stop loss.
If you put stop loss. I would suggest at 2.5000
The ABCD pattern on #EURUSD 4 hour chart is now completed and we expect the pair to correct to 50% Fib level. 1.1100 area in #EURUSD has been a very strong support and resistant level in the past couple of months and there is good chance to bounce to this level again in a medium term.
In terms of risk and reward ratio this trade will give you a better than one to...