GBPUSD is currently in a consolidation phase on the H4 Chart. This will create counter-trend opportunities on lower timeframes so I will be looking for price action patterns around the key Daily support and resistance zones. Price is currently @ the Daily Support Zone* ( 1.40730- 1.41080) so I will be looking for counter-trend opportunities on lower timeframes....
It would be highly unlikely that GBPUSD will leave the station without collecting liquidity from the quadruple tops created.
My take on it is that we will see a strong bullish rally from here into the order block holding above the highs before we see that collapse we have all been waiting for.
Volume is building around this dense area in the market.
The recent strong bearish breakout would have triggered some sellers into the market, leaving liquidity resting above.
We can expect a significant pullback into the previous demand level before any signs of a sell-off.
If the price approaches the demand level but fail to reject, sells will be invalidated.
- Price forming rising wedge, anticipating breakdown following recent rallies
- Double top formation indicating failure to produce fresh highs, anticipating reversal of market bias to bearish
- Will be taking double entry, first target to take partials at 1.4 and second at 1.38, 1:4RR and 1:12RR
This pair has been treading smoothly to the upside creating higher lows whilst respecting order blocks on its way up.
We are coming to a highly liquid area in the market that will be more than likely manipulated.
We have two scenarios for GBPUSD
- We either pull back aggressively into the previous structure before purging the huge supply zone holding above...
". There is still a possibility of temporary retracement to the suggested resistance line (1.4205).
if so, traders can set orders based on Price Action and expect to reach short-term targets."
. GBPUSD is in a range bound, and the beginning of a downtrend is expected.
. The price is above the 21-Day WEMA, which...
GBPUSD Overview -
Monthly Closure - Strong Bullish closure previous resistance level (very similar situation to GBPAUD)
Weekly chart - market structure broke previous level of resistance and is creating a new HH, previous candle closure bullish ( however, not the strongest bullish candle) ...
GBPUSD had a bullish move at the end of the week. Depending on whether the DXY keeps falling, if the DXY keeps falling we will see GBPUSD move further up to the next resistance level. However, I believe at the start of the week we could see a pullback on the DXY which will cause GU to fall to around my trendline and support area, from there we could see price...
We have read that the US economic growth of 6.4% did not change the view of the Fed to be more in hawkish mode.
This shall maintain my view that USD is still waiting for its catalyst moving forward.
As per 4H chart, the trendline is being tested, if there is a bounce, I would consider that my long view on GBPUSD is supported.
Weekly - Bearish
Daily - Bearish with retracement.
Failed to break above previous structure.
Creating lower highs
Potential M formation being formed
I am not in this trade as I missed my entry at 2.30am but I am happy to watch how price moves and provide value to whoever sees this.
Let me know what you see in the comments below?