#GBPUSD is plotting the bullish story:
1) Extremely high-volume down-move.
2) Too big upwards-pullback. It tells that high volume (1) contains the hidden strength.
3) SLKB under the previous minor low with closing on the top.
4) DB breaking out above red resistance line (rising volume = effort of bulls to breakout)
5) testing the breakout effort level (setup for entering longs). Note, C approx = (A+B)/2
6) DB and breaking above the center trend-line
1.3 round number and major resistance are near. We have strength on the background.
-) The first attempt to break above 1.3 should follow.
-) Then market will be vulnerable for SLKT, minor Trap.
-) Then the second attempt to break above 1.3 should follow.
This is the most expectable scenario fro me.
1) Extremely high-volume down-move.
2) Too big upwards-pullback. It tells that high volume (1) contains the hidden strength.
3) SLKB under the previous minor low with closing on the top.
4) DB breaking out above red resistance line (rising volume = effort of bulls to breakout)
5) testing the breakout effort level (setup for entering longs). Note, C approx = (A+B)/2
6) DB and breaking above the center trend-line
1.3 round number and major resistance are near. We have strength on the background.
-) The first attempt to break above 1.3 should follow.
-) Then market will be vulnerable for SLKT, minor Trap.
-) Then the second attempt to break above 1.3 should follow.
This is the most expectable scenario fro me.
Oleg Alexandrov, market analyst. Find me in Google
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