Posts

GBP/USD Reaches Daily Resistance from First Covid-19 Drop

avatar of @forexbrokr
25
forexbrokr.
@forexbrokr
·
·
0 views
·
1 min read

Direct from the desk of Dane Williams.



After our GBP/USD long trade played out perfectly, even giving us a second chance to enter if we missed the first, the pair has now moved to our next higher time frame resistance zone.

We always start with a higher time frame zone for market direction, so take a look at the zone I'm talking about on the daily chart below.

GBP/USD Daily:

You can see it's a pretty self-explanatory higher time frame zone, just simply drawn from the previous swing high where price last got proper rejected.

When it comes to support/resistance, it's the force behind the rejection that matters and with the Covid-19 fall coming next, let's just say this one is obviously significant.

Now we can see higher time frame resistance looking like holding, we zoom into an intraday chart to look for a short entry.

GBP/USD Hourly:

You can see here, I've marked the first area of short term support turned resistance that we can use to get short off and manage our risk around.

GBP/USD has been trading in a highly technical manner between support/resistance zones lately, so let's see if that continues going forward.

Best of probabilities to you,

Dane.



FOREX BROKR | Hive Blog Higher time frame market analysis.

Posted Using LeoFinance