Positional trading has been subdued to some extent in last 2 days but GBPUSD is definitely better to trade then EURUSD. YEN, NZD, CAD and AUD show trending patterns and those are the currencies we should focus on. GBPUSD has been showing us a decline for last 6 days and we can identify a BEARISH ZIG ZAG.
However the pair is CONSOLIDATING at the moment inside the rectangle within the equidistant channel. We can spot 2 possible confluence points for a breakout. Due to consolidation BREAKOUT is 2-way directional. If the pair breaks 1.5740 with MOMENTUM 1.5775-80 is the next target. H4 close above 1.5740 is then needed for further break towards 1.5817.
If the pair manages to break 1.5665 with MOMENTUM then 1.5625-15 is next but the pair will still be contained within the channel and only 4H close below 1.5625 could tank the pair towards 1.5565.
We need to pay attention to the 2-way channel breakouts and possible rejections if breakouts don’t happen.
The analysis and the article presents Nenad's opinion. Remember, financial trading is highly speculative & may lead to the loss of your funds. Proper risk management is the Holy Grail of trading.
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