We are at a zone where we encounter three reasons to resist.
1. 0.786 FIB Level
2. descending trendline
3. 4h S/R level
In addition, we have 2 sell signals of the Wavereader.
I don´t need any more reasons to try a short here.
We have a good FIB cluster below that could attract us.
In the context of the current resistance and short signals in lower TF, I am building my short position.
The 4h signal would still be the best thing that could happen.
We are between 2 horizontal SR levels. An ascending trend line gave us support in the end.
If this will hold again and we get a 4h buy signal I see the orange marked path for possible.
Should we break this trendline, we still get support in the white zone, there is then to pay attention to the Wavereader whether we go the red way.
Both variants look to me like...
My view on GPDUSD
First of all, it is noticeable that we have been rejected by the trendline several times since the covid low after breaking it bearishly.
We then formed a double top and during that also an inverse cup&handle.
The wavereader gave the signal to go short at the white mark.
I see little bullishness here in the longer term and...
Short and sweet:
1. We have a gap to fill.
2. This is expected to take us to the 0.786 fib level.
3. the wavereader will give the next sell signal there.
For the addition, there is still a trend line of the downward trend in the region
All in all a good setup for me.
It is sometimes crazy how simple actions by famous people influence a course.
Here it was two footballers.
But it is true that "bad publicity is still publicity".
From a chart perspective, I see Coca Cola in a battle with a support zone. In addition, we have a trend line that can give us support.
The wavereader gives us a 4h buy signal, which is definitely not...