Top trade idea for March 31st, 2015 – GBPUSD
By Mircea Vasiu on Mar 31, 2016 09:50:27 GMT
This GBPUSD look bearish from my point of view even though the triangle you can see forming on this daily chart can be a bullish one. But I doubt that.
The thing is that the whole move from the upside is nothing but a corrective wave, namely part of a double combination that started when the pair was traded in the 1.70 area, and after the end of the x wave purple an elongated flat formed.
This signals a triangle to come but the leg of this triangle, wave a in purple, is not completed and needs some more downside. Therefore, a move below 1.40 is in cards and only after that a move for wave in purple should correct it.
All in all, this triangle as the x wave red should break lower, not higher, and all eyes should be on the b-d trend line to see if we have a confirmation when it is broken.
Conservative traders should wait for the b-d trend line to be broken before going short, more aggressive ones should short it here with a 1.4566 stop loss and 1.3820 take profit.
About Mircea Vasiu
Mircea Vasiu has an MBA in International Business from an American University, graduating Magna Cum Laudae. He has been a professional trader for the last 8 years and is involved in various educational projects for different financial companies. He also runs a trading signal for the currency markets at www.capitalpropertiesfx.com.
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