GBPUSD: Trend Reversal and Sell Opportunity

Trading against the main trend is risky. But at the same time, such an approach allows traders to catch a new trend in the beginning.

The price reached the resistance zone. We got reversal candlestick patterns. RSI confirmed the price reversal.

We got a bearish divergence. It is a trend reversal signal.

The price broke the local uptrend line, and it confirms the short term trend reversal. MACD supports the further downward movement.

DMI confirms the bullish trend, but ADX line falls. It is a signal that buyers don't have the power to push the price upward.

We have a sell opportunity.

Entry Price: below 1.31310
Stop Level: 1.31885
Profit Level: 1.30085

Risk per trade must be no more than 1% of your capital.

Yorum:

The trading idea is still workable.