EURGBP – 1W
On daily chart we can see downtrend. We can identify lower bottoms and lower tops, we can separate corrections from impulses and we can see that averages have good shape, what suggest us to open short positions but latest increases in the weekly charts can be a threat to the downtrend. Please note that after each downward movement appeared strong growth marubozu. Also important that the bottoms are shallower. Be very careful when you enter short positions. Let’s take a closer look on trading chart.
EURGBP – D1
On trading chart we can see that price is in bigger correction. Currently price is in support area. We can see that after the last test the bears do not have the strength to beat the average from daily chart. The entire arrangement looks like ABC correction. All these can suggest greater movement of growth. If someone has a convinced that the zone is still strong, before enter a short position, you should wait for a strong Price Action signal. You have to remember about MM, this transaction requires no more than 2% of our deposit. It is very important to check correlation table of our transactions. If there is any correlation with open position on -0.7 or +0.7 level, you shouldn’t open position on this pair.
