Greg's Trading Analysis (GBP/USD)

I'm creating this thread to post technical setups that I see in the market.

Feel free to add comments, suggestions or alternative ways of seeing the charts that are posted.

My analysis is based on turn around points, these are what I perceive to be setups. Points at where price is highly likely to continue in a direction to an obvious support/resistance point. This point can be either a 00 or previous highs/lows.

Trade Caliber:
- GBP/USD intra-day only.
- 4 Hour Charts (Daily, Weekly and Monthly are also used but will not be posted in thread).
- Wicks, Closes and Opens (wicked candles signify less support/resistance and candle open/closes signify stronger support/resistance)
- Daily high/low, weekly high/low, monthly high/low, 00 areas (anticipation levels).
- Basic trend lines (never buy/sell at the point of a trend line, only use it as an indicator - wait for the setup!).
- Market times (mainly focus on Asian >> European crossover and early euro trading hours).
- Market volatility (market is always changing and you have to understand emotional risk aversion/appetite based on fundamentals at x time).

You're here to either learn about how the market trades or change your understanding of the market. I've been involved in Forex since September 2008 and analyze charts approximately 4 hours per day on average. I'm 22 and have been self-employed since 19 (not with Forex).

I will try to keep this thread updated.. I'm not a blogger by nature so lets see how things go.

Greg.

There are 2 important prices that were closely watched on this setup.

1.5285 was a price price that opened and closed frequently (look closely).

1.5300 was the combustion point.

The only added resistance above 1.5300 was a wick.

Yes there was a bearish trend line but this was looked at as an aggression point. On daily chart this trend line was insignificant.

Fundamentals:

- 1 member is voting to increase interest rates, although it was expected this still supports a buy.
- Retail sales are above forecast.

Greg.

Trade data attached.

1st attempt fail
2nd attempt success

Technically, this pair should close out today at around 1.5520

This is a point which the market is anticipating.

Medium bias is still bullish.

Will be looking long in the coming days.

2x positions long, planned from late Asian session (since I'm in New Zealand).

Momentum around the news release saw the pair break previous trading pattern. The chart speaks for its self and entry point should be self-explanatory.

Take profit is within the latest day trading range.

If the pair closes today at the top of the range, Thursday will decide if this pair is going to continue it's journey to next resistance points 1.5830 and 1.6000