GBPUSD Top-Down Analysis
Hello Traders,
Here is the Top-Down Analysis of GBPUSD (Monthly, Weekly, Daily for direction and 4H for entry) for
Week 43 - 19 Oct
M > Price is respecting downward trend-line as resistance. It reached monthly resistance coinciding with the trend-line, got rejected and moved to the downside. We saw a W pattern, its neck also coincided with 0.618 Fib level on last bullish impulse, however price retraced to the upside failing to test the neck.
W > Placing FIB on weekly bullish impulse we can see price dropped till -0.618 FIB level in its bearish move. We saw an M formation and expected price to move up to test its neck and complete the pattern. Price moved up till 0.5 Fib level on last bearish impulse. We now expect price to continue with downward move to test neck of W formation, it can continue to drop further till -0.272 Fib level which also coincides with weekly demand zone.
D > Price moved up creating HH and HL and with huge reversal candle started downward move. However price has not been able to break through daily demand zone. We will wait for it to create next LL on daily time frame to confirm bearish move.
As per COT GBP saw closure of both Long and Short positions improving net positions but still in -ve, whereas N-R could not gauge the same path and they went opposite with addition of both Long and Short. Commercials closed both Long and Short positions, Short for them reducing further to least for current year. BXY had further improved its position during the said week but it weakened last week.
We must note that in month of June and July BXY made all bullish move while having negative net positions, this ride was because of weak DXY and not due to strength of BXY. Hence we expect a realtime correction soon.
4H > We can see some major push from both buyer and seller with impulsive moves and long wicks. We will wait for price drop further and close the day creating a LL for confirmation of bearish move.
Pair Correlation > GBPUSD has positive correlation with GBPJPY, GBPCHF and GBPCAD and negative correlation with EURGBP on daily time frame. We are following correlation on daily time frame for GBP due to its extensive volatility.
This was my Idea and I hope you find it useful. If you find the analysis of help please leave a LIKE and FOLLOW for receiving all updates during the week. In the comment section share your view or ask questions.
Thank You
AP17FX
Here is the Top-Down Analysis of GBPUSD (Monthly, Weekly, Daily for direction and 4H for entry) for
Week 43 - 19 Oct
M > Price is respecting downward trend-line as resistance. It reached monthly resistance coinciding with the trend-line, got rejected and moved to the downside. We saw a W pattern, its neck also coincided with 0.618 Fib level on last bullish impulse, however price retraced to the upside failing to test the neck.
W > Placing FIB on weekly bullish impulse we can see price dropped till -0.618 FIB level in its bearish move. We saw an M formation and expected price to move up to test its neck and complete the pattern. Price moved up till 0.5 Fib level on last bearish impulse. We now expect price to continue with downward move to test neck of W formation, it can continue to drop further till -0.272 Fib level which also coincides with weekly demand zone.
D > Price moved up creating HH and HL and with huge reversal candle started downward move. However price has not been able to break through daily demand zone. We will wait for it to create next LL on daily time frame to confirm bearish move.
As per COT GBP saw closure of both Long and Short positions improving net positions but still in -ve, whereas N-R could not gauge the same path and they went opposite with addition of both Long and Short. Commercials closed both Long and Short positions, Short for them reducing further to least for current year. BXY had further improved its position during the said week but it weakened last week.
We must note that in month of June and July BXY made all bullish move while having negative net positions, this ride was because of weak DXY and not due to strength of BXY. Hence we expect a realtime correction soon.
4H > We can see some major push from both buyer and seller with impulsive moves and long wicks. We will wait for price drop further and close the day creating a LL for confirmation of bearish move.
Pair Correlation > GBPUSD has positive correlation with GBPJPY, GBPCHF and GBPCAD and negative correlation with EURGBP on daily time frame. We are following correlation on daily time frame for GBP due to its extensive volatility.
This was my Idea and I hope you find it useful. If you find the analysis of help please leave a LIKE and FOLLOW for receiving all updates during the week. In the comment section share your view or ask questions.
Thank You
AP17FX
Wyłączenie odpowiedzialności
Informacje i publikacje przygotowane przez TradingView lub jego użytkowników, prezentowane na tej stronie, nie stanowią rekomendacji ani porad handlowych, inwestycyjnych i finansowych i nie powinny być w ten sposób traktowane ani wykorzystywane. Więcej informacji na ten temat znajdziesz w naszym Regulaminie.
Wyłączenie odpowiedzialności
Informacje i publikacje przygotowane przez TradingView lub jego użytkowników, prezentowane na tej stronie, nie stanowią rekomendacji ani porad handlowych, inwestycyjnych i finansowych i nie powinny być w ten sposób traktowane ani wykorzystywane. Więcej informacji na ten temat znajdziesz w naszym Regulaminie.