Greetings, the GDP (GBP) is going to be released shortly and my anticipation is a continuation lower for GBPUSD to reach the Daily Sell Stops. Price at the moment has rebalanced a H4 FVG and on the H1 we have a Turtle Soup (False BOS). The false BOS gives us an idea that IPDA took the high in order for order pairing to occur.
Order Pairing essentially means that IPDA (Interbank Price Delivery Algorithm) is pairing the Buy Stops at that high (Buyside Liquidity) with its Sell Orders. In other words, the algorithm is entering its Sell Orders to the willing buyers that point.
Once Order Pairing has occurred this establishes a High Resistance Liquidity Zone, meaning that the High becomes a Resistance point, because think about it this way. If you were the Institutional Bank, if you had already entered a order up there, why would you deliver price back up there?
Kind Regards,
The_Architect
Order Pairing essentially means that IPDA (Interbank Price Delivery Algorithm) is pairing the Buy Stops at that high (Buyside Liquidity) with its Sell Orders. In other words, the algorithm is entering its Sell Orders to the willing buyers that point.
Once Order Pairing has occurred this establishes a High Resistance Liquidity Zone, meaning that the High becomes a Resistance point, because think about it this way. If you were the Institutional Bank, if you had already entered a order up there, why would you deliver price back up there?
Kind Regards,
The_Architect
Note
First Sell attempt, if this fails I will be looking at taking another risk once the m15 buy stops are taken.Refer:
Kind Regards,
The_Architect
Note
It may appear that although the GDP news may have been good for the currency, I still anticipate further Sellside draw due to the fact that the Dollar (DXY) is still very strong.If something else occurs, I will react accordingly.
Refer:
Kind Regards,
The_Architect
Note
Trade ManagementAlthough I am anticipating a Draw to Daily Sell Stops its always important to think just like IPDA, from this perspective it always you to be flexible and more reactive than predictive. This also strengthens your psychology because you operate in complete objectivity.
With this being said there is still m5 Buyside Liquidity that has been left and if the sell fails that is the point I would want to take another risk for sells because that High holds a large amount of Buyside Liquidity.
Refer:
Kind Regards,
The_Architect
Note
H1 FVG gap is being rejected we may see a further continuation lower.Refer:
Kind Regards,
The_Architect
Note
Break Even TradeThe news dropped and swept my SL. I will react accordingly seeing that the draw is still to the Daily Sell Stops.
Refer:
Kind Regards
The_Achitect
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.