If you are tracking the GBPUSD this week, consider this technical perspective.
Recent price action on the daily time frame is within a symmetrical triangle and, technically, we should expect a breakout from either side of the triangle. Much of the candlestick prints last week indicate an intention of bulls to go further northwards. But as market operation is presently located close to a significant horizontal resistance zone (1.30160/1.31960, bound by red horizontal lines), a bullish drive is likely to be hindered.
Technicals on the H4 time frame indicate that bulls still have room and influence to take price action further northwards; they may retest the 1.301160 horizontal resistance. But beyond that level, they are likely to face some barriers, given the significance of the 1.30160/1.31960 zone as resistance on the monthly and weekly time frames. We should await how price action handles the zone in the early part of this week. Personally, I am looking for a bearish setup within the 1.30160/1.31960 zone, as that will likely offer me a profitable R:R.
I may be wrong. Trade safe and prosper.
KP
Recent price action on the daily time frame is within a symmetrical triangle and, technically, we should expect a breakout from either side of the triangle. Much of the candlestick prints last week indicate an intention of bulls to go further northwards. But as market operation is presently located close to a significant horizontal resistance zone (1.30160/1.31960, bound by red horizontal lines), a bullish drive is likely to be hindered.
Technicals on the H4 time frame indicate that bulls still have room and influence to take price action further northwards; they may retest the 1.301160 horizontal resistance. But beyond that level, they are likely to face some barriers, given the significance of the 1.30160/1.31960 zone as resistance on the monthly and weekly time frames. We should await how price action handles the zone in the early part of this week. Personally, I am looking for a bearish setup within the 1.30160/1.31960 zone, as that will likely offer me a profitable R:R.
I may be wrong. Trade safe and prosper.
KP
Do your homework, follow the footprints of smart money
