GBP/USD Shorts from 1.27500 back down
My bias this week is to look for nearby sell opportunities as we approach a strong supply zone on the 21-hour chart. I will wait for a Wyckoff distribution to unfold, likely on Monday or Tuesday, to take sells back down to the next demand zone.
Since the equal highs have been swept, I expect the price to slow down and provide a clear entry model for shorts. Despite the current bullish trend, I plan to take these sells down to the next demand zone, where I will look for long positions to continue the trend.
Confluences for GU Sells are as follows:
- 21hr supply zone has caused a break of structure to the downside and has an imbalance
- The overall trend on the higher time frame is bearish and the dollar is also overall bullish.
- Price has swept equal high liquidity enough to now break back down.
- Bullish pressure is getting exhausted after the bullish rallies we saw last week.
P.S. Since the price hasn't yet tapped into the supply zone, I'm also watching for an Asian high sweep, which will further confirm my sell bias. Additionally, we're approaching the psychological level of 1.27500, so it will be interesting to see how the price reacts.
Have a great trading week!
Since the equal highs have been swept, I expect the price to slow down and provide a clear entry model for shorts. Despite the current bullish trend, I plan to take these sells down to the next demand zone, where I will look for long positions to continue the trend.
Confluences for GU Sells are as follows:
- 21hr supply zone has caused a break of structure to the downside and has an imbalance
- The overall trend on the higher time frame is bearish and the dollar is also overall bullish.
- Price has swept equal high liquidity enough to now break back down.
- Bullish pressure is getting exhausted after the bullish rallies we saw last week.
P.S. Since the price hasn't yet tapped into the supply zone, I'm also watching for an Asian high sweep, which will further confirm my sell bias. Additionally, we're approaching the psychological level of 1.27500, so it will be interesting to see how the price reacts.
Have a great trading week!