EUR/GBP: detailed chart analysis. Where can we go short from?
Conducting a thorough examination on the H16-timeframe graph, the following points could be observed:
- The price action is looking wonderful
- The sentiment of the market is bearish
- The chances of getting further downside moves upon a pullback are high
And hence, we are interested in catching entries and riding the potentially upcoming bearish wave.
As it can be observed from the plotting and sketching done on the graph, the ascending trend-line that we have located has been penetrated but not re-touched yet. The re-touch point of the trend-line aligns with the 50% Fibonacci retracement level identified from the recent impulse. Hence, we are expecting for the price to perform one more probable re-test of the zone that we have circled on the chart and complete the correctional move before resuming its bearish moves towards the downside and possibly reaching the target area that we have mapped on the graphic.
- The price action is looking wonderful
- The sentiment of the market is bearish
- The chances of getting further downside moves upon a pullback are high
And hence, we are interested in catching entries and riding the potentially upcoming bearish wave.
As it can be observed from the plotting and sketching done on the graph, the ascending trend-line that we have located has been penetrated but not re-touched yet. The re-touch point of the trend-line aligns with the 50% Fibonacci retracement level identified from the recent impulse. Hence, we are expecting for the price to perform one more probable re-test of the zone that we have circled on the chart and complete the correctional move before resuming its bearish moves towards the downside and possibly reaching the target area that we have mapped on the graphic.