The last month has been a heavy downtrend for GBPUSD. Be it seems that right around 1.2480 Buyers were heavily stepping in, this was a price of heavy institutional buying activity in the past (monthly chart) which is why I am looking for more buying activity to occur in this region. You can see that price has really slowed down from a sellers perspective, it has begun to start turning sideways which is an inclination of weakness. We also have the bear trendline break. the break is not as strong as I'd like to see so I'm open to the idea of a one more drop to the down side to really shake everyone out.
We also have divergence on the daily and price has closed above the 50 ema on the 4hr just for additional confirmation.
I will be bullish on the GBP USD this week, the true question is where will the right shoulder possibly complete?
-Keep you posted!
We also have divergence on the daily and price has closed above the 50 ema on the 4hr just for additional confirmation.
I will be bullish on the GBP USD this week, the true question is where will the right shoulder possibly complete?
-Keep you posted!