Today we are going to look at a recent topic we discussed in our first webinar the power of breakout trading. This pair had nice breakout trades that worked really well.
I want you to note how the market topped in the previous bullish trend. Can you identify the price pattern highlighted in yellow? Do you see the candlestick formation in the right top of the chart pattern? If not, feel free to visit www.fourthstreet.co.ke for more information on our Price Action Trading Course.
As you may observe we see a break of the red trendline in the fall of the GBPUSD and we see close outside the bear trendline. Next we see a peculiar candlestick formation that show indecision. Then a strong decision confirms the investor sentiment. What is the price telling you? What is there to say when the price does the talking?
Our bias on this pair is to stay alert and we will have a very close to see how the bulls will react as price is at a zone of resistance.