EUR/GBP Elliott Wave: Selling the rallies at blue box area
|In this technical article we’re going to take a quick look at the Elliott Wave charts of EURGBP published in members area of the website. Our team recommended members to avoid buying , while keep favoring the short side in the pair. Recently we got recovery that reached our selling zone. The pair found sellers and made reaction from the blue box as expected. In the further text we are going to explain the Elliott Wave Forecast and trading strategy.
EUR/GBP Elliott Wave Four-hour chart 03.23.2024
The pair is correcting the cycle from the 0.87148 peak , giving us 4 red recovery. The price has already reached the extreme zone at 0.85817-0.86330 (Blue Box – sellers zone). So, we are aware that another marginal push up may or may not be seen within the blue box. Alternatively, 4 red can be already completed at the 0.86019 high as Elliott Wave Double Three Pattern. We don’t recommend buying the pair and prefer the short side from the blue box zone. As the main trend is bearish, we expect to see at least 3 waves pullback from our selling zone. Once the decline reaches 50 Fibs against the ((b)) black low, we will make the short position risk-free (put SL at BE) and take partial profits. Invalidation for the short trades is a break above 1.618 fib ext: 0.8633.
EUR/GBP Elliott Wave Four-hour chart 04.13.2024
The pair found sellers at the Blue Box area: 0.85817-0.86330. The recovery completed at the 0.86019 high, and we are receiving a good reaction from the selling zone. The decline reached and exceeded 50 fibs against the connector’s low. So, members who took the short trade are currently enjoying profits in risk-free positions. While below the 0.86019 high, the next leg down can be in progress toward new lows.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.