GBPCAD Upward Channel April 20, 2017, Short
Observation:
Price break Upward Channel (small)
Market decides whether to break Downward Channel (big)
Analysis:
Market cycle high probability of price consolidation.
Previous lower highs could dictate market memory to decide for a price drop.
If market respect dynamic resistance of downward channel (price retrace around 1.73), there is a high probability of price drop.
RSI oversold has the high probability price reached it's peak and could be a sign of reversal.
Conclusion:
Wait for more signals to confirm decision and place tight stop loss to reduce losses.
Price break Upward Channel (small)
Market decides whether to break Downward Channel (big)
Analysis:
Market cycle high probability of price consolidation.
Previous lower highs could dictate market memory to decide for a price drop.
If market respect dynamic resistance of downward channel (price retrace around 1.73), there is a high probability of price drop.
RSI oversold has the high probability price reached it's peak and could be a sign of reversal.
Conclusion:
Wait for more signals to confirm decision and place tight stop loss to reduce losses.
Trade closed: stop reached
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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.