weekly, daily, 4hr. all key here.
Weekly shows that for the 2nd week in a row, price rejected the 1.40 level.
Daily is showing good corrective candles.
4hr is showing a small zone of support, but I'm more interested in the daily below which would be the safer buy for the next impulse.
Check the out on the Daily, huge fakeout of the channel and solid rejecting of both the key 0.87 level and 61.8% Fib area.
Will add sells once the 4hr is broken and 382% fib area to target both weekly supports, taking partials at the 1st.
Fancy a short term long into the weekly res here.
Take a look at that wick on the 1W chart from last week, it's juicy.
Entered a zone of consolidation here, see if it breaks to the highlighted fibs or bounces
A lot going on here with the Aussie dying this week.
We have a trend line, dating back to the March crash.
Then we have a zone of consolidation between the daily support and resistance.
All depends what holds, the short term 61.8% or whether we go to revisit the long term swing 61.8%.
Given how extended the markets are, I'd fancy shorts all day here!
10 Bullish weeks in a row, when the UK economy is very much lagging behind everyone else.
Surely it's due a pullback?
Prepared for both scenario's. Looks a very good buy the dip scenario here to be honest classic TL touch, 61.8 area and 4hr support.
So the Downtrend from the March highs is still being respected on the daily timeframe.
Within this channel, we have a good bearish confluence on the 4hr TF with the H&S forming, off that 4hr resistance.
This should couple with the US stimulus to further weaken the dollar.