Potential 700+pips on GBPUSD

May 8, 2023

The GBPUSD market is approaching the Fair Value gap that was created from the GBP's fall last year, which occurred around the price of 1.3570 and the main gap from 1.3030. Additionally, the market has reached the high from which it started to rally. Based on my analysis, I anticipate that on the lower time frame this week, the price will experience a strong rally that will push it above the high at 1.2660, up to around the 1.2720 region. After this rally, there may be a mid-week pullback to the week's open, which could even cause a drawdown to the price of 1.2495. This price level is an area of strong demand that could serve as a catalyst to drive the price up to the Fill at 1.3030. This scenario leaves us with a potential gain of around 600 pips. I will update with other possible scenarios later. I'll be watching this intraday scenario too, do well to apply proper risk management

May 10, 2023

Comment

We currently have 50 pips running on this setup. Upon analyzing the travel pattern of this expression, we initially anticipated that the price would reach the 1.2671 price level, experience a significant pullback to demand at 1.2490, and then move towards the uncharted territory of the FVG. However, it appears that instead of following this trajectory, the price is more likely to touch the demand level and then move directly towards the FVG. If the price closes below 1.2610, we can enter into a short position and expect a drop to near the demand level at 1.2525, resulting in a profit of approximately 100 pips. Alternatively, we can take partial profits, adjust our stop-loss to the entry point, and add more positions for buying. I will keep you updated on any further developments.