In yesterday's analysis, I expected GU to have bearish continuation towards 1.3960 support zone as I noticed an exhaustion pattern (pennant) formed, which was exactly what the market did. In today's trading session, I will remain neutral bias. There are two setups that I am looking at
1. If we notice selling pressure stepping in, we could use the 50ema and 1.3988 minor resistance zone as area of values to have potential short entries (Bearish)
2. Be cautious that 1.39880 minor resistance zone is our defend line, if price breaches above the zone that'd violate a lower high sequence, which invalidates the short setup
The overall trend on the higher timeframe remains bullish, what I'm looking at is some short-term bearish sentiment in the market.
Trade safe.
Do follow my profile for daily fx forecast & educational content.
1. If we notice selling pressure stepping in, we could use the 50ema and 1.3988 minor resistance zone as area of values to have potential short entries (Bearish)
2. Be cautious that 1.39880 minor resistance zone is our defend line, if price breaches above the zone that'd violate a lower high sequence, which invalidates the short setup
The overall trend on the higher timeframe remains bullish, what I'm looking at is some short-term bearish sentiment in the market.
Trade safe.
Do follow my profile for daily fx forecast & educational content.