Potential Bullish Reversal! - EG
Updated
Here I have EUR/GBP on the 4 Hr Chart!
Here we see Price has made 2 clear Lows ( Latter Lower than Previous Low ) with a High @ .84579
-Now to bring attention to the RSI Indicator, we can see Price is showing a different picture ( Latter Higher than Previous Low )
-We also have a Double Tap on the Lower Bollinger Bands
These events add up to what seems to be a Divergence taking place where Price has made its True Low and RSI indicates its no longer looking to go LOWER!!
Now for CONFIRMATION of this Potential Double Bottom Pattern, we NEED Price to Break and Close ABOVE the High @ .84579 and then to Re-test!
INVALIDATION of Pattern will come if Price decides to go Lower than our Low @ .83972
Here we see Price has made 2 clear Lows ( Latter Lower than Previous Low ) with a High @ .84579
-Now to bring attention to the RSI Indicator, we can see Price is showing a different picture ( Latter Higher than Previous Low )
-We also have a Double Tap on the Lower Bollinger Bands
These events add up to what seems to be a Divergence taking place where Price has made its True Low and RSI indicates its no longer looking to go LOWER!!
Now for CONFIRMATION of this Potential Double Bottom Pattern, we NEED Price to Break and Close ABOVE the High @ .84579 and then to Re-test!
INVALIDATION of Pattern will come if Price decides to go Lower than our Low @ .83972
Comment
Price has made it to our CONFIRMATION of Pattern! We need a Break and Close Above to Validate!
Scenario 2- Price declines back down to the First Low Level for potential Head & Shoulders Set-up!
Comment
What price decides to do from here will determine what kind of Reversal we are looking at!
Scenario 1 - Double Bottom with Break & Retest as CONFIRMATION
Scenario 2 - Emergence of Head & Shoulders with Break & Retest as CONFIRMATION
Comment
Price on EUR/GBP on the 4HR chart has given us a solid Breaking Candle!Now for a Closing Candle before the Retest of Confirmation @ .84579!!
Trade active
EURGBP finally gave us a HIGH @ .84989 and using the Fibonacci Retracement tool, you can see price retraced to the Fib Entry Zone and is finding strong SUPPORT!!
Buy Entry @ .8460
SL @ .8440
Comment
Price is now on its way to interact with the Kill Zone!
-If price is rejected from here, I expect price will make another trip down to the Fib Entry Zone for one more test.
-After which price MUST BREAK THROUGH the Kill Zone!
Comment
Comment
So far price knocked on the door @ .84771 and was rejected away!I would like to see it Break all the way through but if it cant, I expect price will fall back down to retest the Fib Entry Zone @ ( .84601 - .84541 )
Trade active
Price on EG made a retracement back to the Fib Entry Zone!
Upon finding Support @ the .8460 Area, I added more Buy Positions!!
SL @ .8440
Comment
Beautiful reaction to the 61.8% Retracement level for the Second Time!!
Get ready for Price to RISE!!
Novi_FIbonacci
Telegram - t.me/+l3fTcsZu91ZiZDkx
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