EURGBP Bearish Retest|Weekly S/R|Low Volume|Oscillators Extended

15 sep. 2020Evening Traders,

Today’s analysis – EURGBP respecting its .618 Fibonacci leading into an impulse move, price action is currently testing weekly S/R where a rejection is probable.
Points to consider,

- Macro trend range deviation
- Bearish Retest (Weekly S/R)
- Local S/R (immediate support)
- Oscillators extended
- Volume below average

EURGBP has had a previous impulse that leads to a range deviation thus any back tests are considered a bearish retest. This allows us to have a bearish bias on the market.

The Local S/R is the immediate support, holding this level will confirm an S/R Flip retest.

Both oscillators are trading in overextended regions, this is indicative of the market getting overbought and that a reversion to the mean is probable.

The volume profile is currently below average, it’s important to note that price rising on declining volume in usually bearish.

Overall, in my opinion, EURGBP is a valid short with risk defined below weekly S/R. Price action is to be used upon management/ discretion of trade.

Thank you for following my work!

And remember,

“Hope is bogus emotion that only costs you money.” – Jim Cramer