GBPUSD, slightly higher then down again
Updated
For my previous post and context about the GBPUSD see link below:
I consider the current price action to be a consolidation of the last bearish impulse. This correction unfolds in the shape of a Flat correction and I therefore don't expect wave C to retrace a lot more than then the length of wave A. This is not written in stone and only a guideline but something to keep in mind when trading this pair.
I like the confluence between -1.272 Fib as well as the recent lows in the 1.315 zone. Wave C should have 5 inner waves and selling out of this 1.315 zone from lower time frames after divergence is what I'll be looking for.
updates will follow
timstuyts.com
facebook.com/timstuyts.com
youtube.com/watch?v=HvmWTm4fcl8
I consider the current price action to be a consolidation of the last bearish impulse. This correction unfolds in the shape of a Flat correction and I therefore don't expect wave C to retrace a lot more than then the length of wave A. This is not written in stone and only a guideline but something to keep in mind when trading this pair.
I like the confluence between -1.272 Fib as well as the recent lows in the 1.315 zone. Wave C should have 5 inner waves and selling out of this 1.315 zone from lower time frames after divergence is what I'll be looking for.
updates will follow
timstuyts.com
facebook.com/timstuyts.com
youtube.com/watch?v=HvmWTm4fcl8
Note
We saw GBPUSD moving higher and now we are in a crucial area for short term price action. If we see a reversal now I will be looking for a sell. I will be looking for divergence signs on lower time frames. I'm however not a buyer here or before for that matter because the first wave higher counted as wave A in blue is not an impulse. This doesn't mean that price can't go higher but it lowers the probability and I like to trade only what's best. I rather enjoy my day than chase a trade. Add to that 1.35. If we move higher price will test that level. So if we see a minor impulse from this area I will wait for a minor consolidation and trade the last part of the bullish move with a smaller stop loss and therefore still trade with a minimum risk/reward of 3/1.Updates will follow.
Note
This is what I like to see for GBPUSD or I let it the potential buy go. The levels are indicative but I really like to see at least a retest of 1.312 before a move towards 1.35 due to market dynamic which is even more important for the Pound pairs as a result of the Brexit referendum.Note
So far so good guy's. We are seeing a bearish impulse in progress at the moment. Let's see whether it settles so we can sell the continuation. Read my original post for context.Have a nice weekend everyone!
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