I expect GBP/USD to start the week with a bullish move, as price has gapped down significantly, altering my initial perspective from Sunday. This gap has also led to a break of structure to the downside.
Looking at the current price action, I’ve identified a clean 3-hour demand zone nearby. Price has already shown an initial bullish reaction from this level, but if it fails to hold, there is a deeper 4-hour demand zone where we could also expect a reaction.
Confluences for GU Buys:
- The price gap has left a significant imbalance that needs to be filled.
- Price is currently in a 3-hour demand zone that previously caused a Break of Structure (BOS),
making it a valid POI.
- There is a large pool of liquidity to the upside that needs to be taken.
- The setup aligns well with the DXY correlation.
Note: If price reacts as expected, I will look for potential shorting opportunities around the 1.2400 region, where a 2-hour supply zone is located.
Have a great trading week ahead, everyone!
Looking at the current price action, I’ve identified a clean 3-hour demand zone nearby. Price has already shown an initial bullish reaction from this level, but if it fails to hold, there is a deeper 4-hour demand zone where we could also expect a reaction.
Confluences for GU Buys:
- The price gap has left a significant imbalance that needs to be filled.
- Price is currently in a 3-hour demand zone that previously caused a Break of Structure (BOS),
making it a valid POI.
- There is a large pool of liquidity to the upside that needs to be taken.
- The setup aligns well with the DXY correlation.
Note: If price reacts as expected, I will look for potential shorting opportunities around the 1.2400 region, where a 2-hour supply zone is located.
Have a great trading week ahead, everyone!
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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.