ridethepig | GBP Market Commentary 09.12.2020📌 @ridethepig G10 FX Commentary
GBPUSD
This linkage between the retracement and the impulsive wave is classical, believed only in absolute directional moves; ....sellers of UK assets are a forced to be reckoned with and such a move in 80 cases out of 100 will be considered worth playing.
I am dropping the figure from 1.350x to 1.345x because I expect sellers to aggressively defend the resistance move. The strength of the USD should in no way be underestimated. And suddenly we are reaching the nucleus of the retracement.
Clarification of the manoeuvre....
The majority are thinking that a dinner for two tonight between Johnson and VDL will consist of progress, instead I think the can will be once again kicked and create some kind of diversion. At the same time, we are going to use technicals here to show the nucleus. I shall choose a typical ABC retracement as an example of the flows to link and fade. In this case 1.345x is being blocked from the previous orderblock which we traded live:
The threat of another leg lower interrupting all lines of communication between GBP buyers on one hand and risk on the other. Therefore we should track the necessity of trapping out opponent on the highs.
If you know the thoughts of your opponent, it is easy to assimilate the concept of a counter attack; a flank which will hammer the currency in a naturally speculative way.
Thanks as usual for keeping the feedback coming 👍 or 👎
