Hey Traders! NEW week, NEW opportunities
For the past few weeks we've seen a strong uptrend in the strength of the GBP. However, we can now start to see a weakness in the market. The daily ascending trendline has just been broken and we have begun to see a new descending trendline. What I am looking for is confluences to see this market head to the downside and to the bottom of the ascending trendline. I am looking for a retest off of a strong support/resistance level which is highlighted in PINK with the market reacting to the descending trendline and retesting the ascending trendline. The 40 EMA has been broken as well so a potential short with these confluences would be a good set up to even HOLD and add more positions as we continue downwards. Before entering I will be looking for either a corrective structure and then a break and close or a bearish 1HR candle close where I will enter once the next candle breaks previous closed price.
For the past few weeks we've seen a strong uptrend in the strength of the GBP. However, we can now start to see a weakness in the market. The daily ascending trendline has just been broken and we have begun to see a new descending trendline. What I am looking for is confluences to see this market head to the downside and to the bottom of the ascending trendline. I am looking for a retest off of a strong support/resistance level which is highlighted in PINK with the market reacting to the descending trendline and retesting the ascending trendline. The 40 EMA has been broken as well so a potential short with these confluences would be a good set up to even HOLD and add more positions as we continue downwards. Before entering I will be looking for either a corrective structure and then a break and close or a bearish 1HR candle close where I will enter once the next candle breaks previous closed price.