The combination British Pound/US Dollar (GBP/USD) jumps from the descending trendline downwards
A continuation of the downtrend downwards to the next support line at 1.23521 is expected.
Caution: A possible reversal of the trend in the direction of the resistance zone at 1.26073 is also possible.
Please make appropriate stop-loss settings in the case of a trade.
Moreover a ‘Bearish Engulfing’ chart pattern is discovered. The candles form ‘Bearish Engulfing’. which is a bearish signal. The currency pair is likely to fall. According to the Encyclopedia of Candlestick Charts by Thomas N. Bulkowski, the chance of ‘Bearish Engulfing’ going down is 79%.
Support & Resistance | Price Range* |
---|---|
3rd High | 1.27873 |
2nd High | 1.27283 |
Next High | 1.26073 |
Current Price | 1.25262 |
Next Low | 1.23521 |
2nd Low | |
3rd Low |
Trading Signals: FOREX – GBP – GBP/USD – USD – Bearish Engulfing