A simple, yet powerful 'Break and retest strategy' alongside 'correction' moves make, for me, the best confluence one can have.
Clean naked chart, Market structure and Price Action, baby!
Buy Bias, after break of previous structure low.
Break of descending trendline, forming a new uptrend, creating higher lows and higher highs.
We have seen some GBP strength this week so hopefully this will continue. Risk to reward ratio of 1:3
Price created a head and shoulders pattern on the weekly. going into the 4hr, I notice market is still is an uptrend due to higher lows and higher highs.
Price at the moment connects with both blue trendlines with one of them acting as a bullish flag. Waiting for price to react off that according to previous...
In short, looks like bottom is in (white lines), bullish reversal from lower lows to higher lows (green lines), still stuck under descending trend-line (red line).
BTC still needs to make higher highs, a break above descending trend-line could lead to this.
GOLD currently trading at a Key resistance and has previously made higher highs from failing to eliminate previous lows to continue down to 1200s, as the dollar makes lower highs looking for XAUUSD to proceed to a target of 1260, 1300s before coming back to retest its low.
Look below for DXY outlook.
