EUR/GBP 1H Chart Analysis
1. Market Structure
The chart shows a breakout from a symmetrical triangle pattern, which signals potential bullish continuation.
Price was previously consolidating inside the triangle, and now it has broken above the resistance trendline.
The breakout suggests a bullish move towards the next resistance level.
2. Key Levels
Support Zone (~0.8396 - 0.8411): Marked in red, indicating a strong demand area where price found support before the breakout.
Entry Zone (~0.8415 - 0.8420): Price has recently broken out and is retesting the breakout area.
Target (~0.8448 - 0.8450): Marked at the previous swing high, serving as the next resistance level.
3. Bullish Setup Confirmation
The trade setup suggests a long (buy) position with:
Entry at the breakout retest (~0.8415 - 0.8420)
Stop-loss below the support zone (~0.8396)
Take-profit at 0.8448 - 0.8450 resistance zone
The trade shows a favorable Risk-to-Reward Ratio (RRR) > 2:1.
4. Trading Strategy
If Price Holds Above 0.8410 → Look for bullish confirmation to enter a long trade.
If Price Breaks Below 0.8396 → Invalidates bullish setup, consider exiting.
If Price Rallies Toward 0.8448 - 0.8450 → Take profit or trail stop-loss to secure gains.
5. Additional Confirmation Factors
EMA 50: Price is above the 50 EMA, which supports the bullish bias.
Breakout Retest: The price is currently testing the previous resistance, now acting as support.
Conclusion
Primary Bias: Bullish
Entry Zone: 0.8415 - 0.8420
Stop Loss: Below 0.8396
Take Profit: Around 0.8448 - 0.8450
Trade Confirmation: Look for bullish candles or rejections at support
The chart shows a breakout from a symmetrical triangle pattern, which signals potential bullish continuation.
Price was previously consolidating inside the triangle, and now it has broken above the resistance trendline.
The breakout suggests a bullish move towards the next resistance level.
2. Key Levels
Support Zone (~0.8396 - 0.8411): Marked in red, indicating a strong demand area where price found support before the breakout.
Entry Zone (~0.8415 - 0.8420): Price has recently broken out and is retesting the breakout area.
Target (~0.8448 - 0.8450): Marked at the previous swing high, serving as the next resistance level.
3. Bullish Setup Confirmation
The trade setup suggests a long (buy) position with:
Entry at the breakout retest (~0.8415 - 0.8420)
Stop-loss below the support zone (~0.8396)
Take-profit at 0.8448 - 0.8450 resistance zone
The trade shows a favorable Risk-to-Reward Ratio (RRR) > 2:1.
4. Trading Strategy
If Price Holds Above 0.8410 → Look for bullish confirmation to enter a long trade.
If Price Breaks Below 0.8396 → Invalidates bullish setup, consider exiting.
If Price Rallies Toward 0.8448 - 0.8450 → Take profit or trail stop-loss to secure gains.
5. Additional Confirmation Factors
EMA 50: Price is above the 50 EMA, which supports the bullish bias.
Breakout Retest: The price is currently testing the previous resistance, now acting as support.
Conclusion
Primary Bias: Bullish
Entry Zone: 0.8415 - 0.8420
Stop Loss: Below 0.8396
Take Profit: Around 0.8448 - 0.8450
Trade Confirmation: Look for bullish candles or rejections at support
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.