Samuel Nkosi - June 26, 2024
GBPUSD 26 June, 2023 – Trend Line Break
The GBPUSD pair initially exhibited a falling wedge pattern. The breakout from the upper trendline of the falling wedge was observed at point A.
Subsequently, the pair retraced to point C, facing resistance at a trendline represented by point B. It remained within a range for a period before encountering resistance at point D, which was the same trendline as before. Entry into the range market could be sidestepped using the gray Hydra range market indicator.
Once the Hydra Trend Rider signaled a bearish red alert, the market began a bearish movement, and the price reached point E. Re-entering the falling wedge pattern indicated a potential continuation of the bearish trend.
In this scenario, a trader, heeding the Hydra Trend Rider’s bearish signal, could consider initiating a sell position below the 1.2645 threshold. This action could significantly increase the likelihood of a successful sell trade, contingent on the persistence of the bearish signal from the Hydra Trend Rider.
Chart Pattern:
A falling wedge chart pattern has formed, indicating a downtrend therefore trend line break confirms more downward movement.
Follow up:
GBPUSD 4 Hour chart it had formed a downward channel before now its trend is weakening and forming a possible falling wedge. The market had moved 53+ pips since the last signal.
Trade Disclaimer: The content provided here is for informational purposes only and should not be considered financial advice. Always consult with a licensed professional before making trading decisions.
