Look Left Young Traders Look Left
The GBPUSD is a “declining price” pair. Soros who one time broke the Bank of England is looking for another BIG score . Trading the pair is therefore only prudent when selling GU .
So lets look at a current set of open trades and discuss why the entry was made . Recall Trading Consultants Inc only considers trades when the direction is clearly indicated by am line chart on the monthly time frame . GU Monthly dowwnward to who knows where.
Let’s look at the 5 numbered areas for guidance.
Notice the vertical line at point of entry and then look left.
On four occasions an engulf signaled a decline.
- Demand Zone indicated by bull candle
- Bear Engulf one of four
- Demand Zone tested see 1.
- Bear Engulf two of four can you find the other 2 ?
- Stop Loss based on most near pin rejection
Target is the demand zone indicated by 1 and 3 above.
“Whales” have memory and while the H4 zone is not as reliable as daily of weekly its a reasonable time frame for clear trends that are directional not ranging. What they did they tend to repeat.