After a huge push from the FOMC, it is important to have two scenarios marked out for the next potential move.
We either pullback from here to fill the imbalance before collapsing into the liquidity pool
We drop from here into the liquidity pool before we return to the upside o fill the imbalance.
Let me know your thoughts in the comment section.
Something different for my first idea of the day.
Working a RSI based strategy here on GBPSD 15M time frame.
After a mad drop caused by FOMC news the strategy has now presented a potential long.
Entry details are shown on the chart.
Green line is TP, Pink line SL
As always trade history can be seen below this trade idea too for full transparency.
Here on GBPUSD we have been in a Bullish channel and inside this channel it has formed a Bullish Flag. As we see on the chart the price has got rejection from two support lines of the Bullish channel and the Flag and also a very strong Support area.
Buy now or Buy at 1.40767
SL @ 1.39890
TP1 @ 1.41820
TP2 @ 1.42430
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.
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) ...
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.
GOT THE THIRD TOUCH I WAS WAITING ON . ENTRY 1 IS ACTIVE , WILL BE MANAGING THE TRADE AS IT MOVES , IF MY STOP IS TAKEN OUT , ILL WAIT FOR THE CANDLESTICK FORMATION FOR A MOVE EITHER DIRECTION , BUT FOR NOW , IM IN LONG , WATCHING THE 1.4000 AS A TP1 FOR POSSIBLE SHORT IDEAS. AND TOP OF THE RANGE FOR THE CURRENT LONG .
This is a continuation of my last idea in which I showed the short position that I had taken up on GBPUSD. Whilst I am still short on this pair for the time being, that will change when price reaches the 1.40988 value. Once we get to the bottom of the trading range, around 1.40988 I will be watching for a sign of weakness below our range. Once we have had that...
Hello, this is a trade that has potential to allow us to play the swings up and down for a near 10:1 risk to reward each time. We have an accumulation schematic at the bottom of the range and a distribution one at the top indicating a trading range on a higher time frame. I will be selling at the top and buying at the bottom and waiting for the larger timeframe...
GBPUSD seems to be forming a perfect wyckoff schematic on the 10m timeframe. I will be watching for a spring below the trading range at 1.40992 and on the test of that spring I will be looking to enter. The spring has the potential to go down to 1.40780 to take out any buyers in the market before moving higher.
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...
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.