After today’s FED meeting and the subsequent Powell conference, which was quite profound in tone, the majority of currencies gained to the US dollar. As a rule, I try to avoid dollar pairs in days like today and look for trading opportunities on crosses. The GBPJPY pair seemed to me the most interesting because of the appearance of the Price Action – Inside Bar on the daily chart.
The next sessions will set the direction for us on this pair. In the case of breaking the mentioned neck line we can expect further declines, which after reaching the nearest support at the level of 0.8880 can activate demand and turn back to the defeated neck line at the level of 0.8920.
On the Daily chart (below) we can see the formation of Head and Shoulders formation, where the neck line coincides with the axis of the mentioned consolidation. Overcoming this level (0.8915) may give an impulse for further declines. The nearest demand zone, starting at 0.8880 may be the goal of supply. Next is at 0.8680,
Trading with MACD – Webinar on 19th of January at 19:00 GMT
I plan a live webinar on 19th of January for medium advanced traders. All members of our Facebook Group can attend after registering on the link below. We start at 19:00 GMT ( UK time)
During this webinar you will learn:
– what is the MACD
– how can we use Inside and Outside Bars to confirm setups
– two methods of using MACD in trading
– maximum and minimum
– a strategy based on Price Action and MACD.
– traders checklist: how to find setups compatible with your strategy
– practical examples on Live charts
Duration: ca 2 hours
Start: 19:00 GMT
All you need is an internet connection. REGISTRATION link below:
This scenario can happen in coming day(s).
At the moment to early to predict .
Will know more and be wiser after Monday opening, and than will revise my analysis.
If it will be necessary ( the update) I will post it here and on www.comparic.com
Have a nice weekend