GBPUSD POTENTIAL BUTTERFLY
We can observe how the price action has created a possible butterfly pattern by point B reaching the 0.786 retracement, point C not going below A and current price action going above X.
We can also see some degree of RSI divergence at the over bought area.
The execute point for the short entry is unclear, as there is strong ratio confluence between the 1.272 and 1.414; and the 1.414 and the 1.618. My personal preference would be to go for the latter.
We can also see some degree of RSI divergence at the over bought area.
The execute point for the short entry is unclear, as there is strong ratio confluence between the 1.272 and 1.414; and the 1.414 and the 1.618. My personal preference would be to go for the latter.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.