My focus this week for GU is around a key daily supply zone that price is currently approaching. As we near this level, I expect price to slow down and begin distributing, potentially leading to a deeper retracement. I anticipate the short setup to form around Tuesday, depending on how price reacts.
If price does retrace, I’ll be watching the 2-hour and 17-hour demand zones, where we could see a bullish reaction and a potential rally from those levels. Since GU has been overall bullish, this would be a counter-trend short, followed by a possible continuation to the upside.
Confluences for GBP/USD Shorts:
- Price is overbought, indicating a potential correction to clear liquidity and fill imbalances.
- Plenty of downside liquidity and imbalances that price could target.
- Approaching a strong daily supply zone, which could act as a key reversal point.
- Unmitigated demand zones below, which may need to be tapped before price continues higher.
P.S. If price doesn’t reach the daily supply zone, I’ll remain patient and look for a buy opportunity to ride price up toward that supply level.
Wishing everyone a great trading week ahead!
If price does retrace, I’ll be watching the 2-hour and 17-hour demand zones, where we could see a bullish reaction and a potential rally from those levels. Since GU has been overall bullish, this would be a counter-trend short, followed by a possible continuation to the upside.
Confluences for GBP/USD Shorts:
- Price is overbought, indicating a potential correction to clear liquidity and fill imbalances.
- Plenty of downside liquidity and imbalances that price could target.
- Approaching a strong daily supply zone, which could act as a key reversal point.
- Unmitigated demand zones below, which may need to be tapped before price continues higher.
P.S. If price doesn’t reach the daily supply zone, I’ll remain patient and look for a buy opportunity to ride price up toward that supply level.
Wishing everyone a great trading week ahead!
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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.
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.