Sive Morten
Special Consultant to the FPA
- Messages
- 18,875
Morning guys,
While EUR is "waiting" when DXY will reach the same 5/8 Agreement level, we could take a look at GBP. Situation here is very interesting, as tomorrow BoE meets and there should be rate decision. Taking "2+2" we suggest that BoE will keep rates intact, which, in turn, should lead our daily setup to target point, showing upside action. Technically, we have here triangle shape and hidden MACD bullish divergence:
On 4H chart, our '222" Sell is done perfect, showing much greater drop than we thought initially. But now, take a look - we have "Morning star" pattern. Invalidation point of bullish setup is "C" point on 4H chart.
On 1H chart market also has completed AB=CD pattern, forming steep "222" Buy and now price action is taking the shape of H&S pattern. Thus, we could use it to make attempt for long entry. We suggest that on inspiration of 31st of January of EU leaving, and tendency is recent sentiment on BoE decision, which has changed from 75/25 to 50/50 of rate cut, BoE will try to use this positive sentiment and keep rate untouched, trying to safe this ability for the future.
We, in turn, will try to use it, as this decision should push GBP higher:
While EUR is "waiting" when DXY will reach the same 5/8 Agreement level, we could take a look at GBP. Situation here is very interesting, as tomorrow BoE meets and there should be rate decision. Taking "2+2" we suggest that BoE will keep rates intact, which, in turn, should lead our daily setup to target point, showing upside action. Technically, we have here triangle shape and hidden MACD bullish divergence:
On 4H chart, our '222" Sell is done perfect, showing much greater drop than we thought initially. But now, take a look - we have "Morning star" pattern. Invalidation point of bullish setup is "C" point on 4H chart.
On 1H chart market also has completed AB=CD pattern, forming steep "222" Buy and now price action is taking the shape of H&S pattern. Thus, we could use it to make attempt for long entry. We suggest that on inspiration of 31st of January of EU leaving, and tendency is recent sentiment on BoE decision, which has changed from 75/25 to 50/50 of rate cut, BoE will try to use this positive sentiment and keep rate untouched, trying to safe this ability for the future.
We, in turn, will try to use it, as this decision should push GBP higher: