Thursday, January 23, 2014

EURGBP forecast Analysis and Trade Setup 23rd Jan, 2014

EURGBP forecast Analysis and Trade Setup 23rd Jan, 2014


Daily Chart


  • We have broke major Support with a big Bearish day candle yesterday
  • Clearly still in a downtrend
  • Currently found expected support at the 127.2 extension / 161.8 extension
  • We expect further push down slightly before a counter trend trade where a stronger support at the confluence levels of (as highlighted in blue box)
    • Monthly PIVOT S2 
    • 61.8% retrace from a big uptrend on a daily
    • 200 fib ext of the most recent reverse retrace of the down trend (sorry i don't know the correct word for this)
    • 141.4% fib ext of oct 29 to dec 02 down swing (fib level not shown on graph)
    • 161.8 fib ext (old level, which was previous s/r

4hr Chart

  • Clear down trend
  • The 4 hour chart is a zoomed in scenario of my trade setup where we can identify smaller swings and calculate more accurately the fib ext levels for entry.


Hourly Chart


  • Clear Down Trend
  • On the hourly chart we are looking for a retrace of our broken support which now is resistance
  • We can enter at the 161.8 fib ext and have stops above 200 fib ext - this is a trend trade



Outlook Trade opportunity

Two opportunity
1 is Trend Trade - see hourly chart
2nd trade is counter - see 4hr / daily chart

Risk Level LOW


Tips -

Always take note of any economical news event on our provided calender below