Market Structure and Price Action GBP/USD (11 June 2024)
11 June 2024
Forex Pair: GBP / USD
Long Term Market Structure:
Price Action since January 2024 is sideways in a Channel between 1.27830 (Top of Channel) and 1.25330 (Bottom of Channel)
The price broke above the channel on 7 March 2024 for 5 days before it pulled back into the channel again. The highest price reached for this breakout above the channel was 1.28945
The price broke below the channel on 12 April 2024 for 27 days before price pushed up into the channel again
Long Term price action suggest that there is not a clear “long term” trend, and that price is moving in between the High and Low of the channel.
Meduim Term Market Structure:
Price is currently moving in the higher part of the channel, but there is still room for movement to the top of the channel so please don’t disregard the possibility of further Bullish movement given the possibility of the Dollar weakening and the Sterling strengthening.
Factors and News that may influence the Price Action of the pair:
- Wednesday 12 June 2024: GDP (MoM) @ 08h00 am in the UK
- Wednesday 12 June 2024: News on Inflation Rate (YoY and MoM) and Core Inflation Rate (YoY and MoM) @ 14h30 pm in USA
- Wednesday 12 June 2024: FED Interest Rate Decision @ 20h00 pm Wednesday 12 June 2024: Wednesday 12 June 2024:
- Thursday 13 June 2024: PPI (MoM) in USA @14h30 pm
Short Term Market Structure:
Price consolidation is taking place (Struggle between buyers and sellers for market dominance) since the sharp decline in price on Friday 07 June 2024 @ 14h00
Price is consolidating in the channel of 1.27390 (Top of channel) and 1.26950 (Bottom of channel)
By reading the Market Structure and current as long as Price Action on longer time frames, I would be making the following predictions to future price action on the pair:
- There is a strong area of interest between 1.27003 and 1.26431.
- A Pullback into this area of Interest is expected.
- Closure and movement in larger time frames (1Hr, 2Hrr or longer) below the level of 1.26431 may result in the price dropping even further to a level of 1.24547.
- If the price stays and keeps on moving above 1.27003 a Bullish Trend to the Top of the Long-Term channel may also take place with Target # 1 @ 1.27595 and Target # 2 @ 1.28082
- However, Momentum towards the “Down side’ is fading Momentum towards the price go down even more after consolidation is not increasing with every bar that closes (4hr)
- If price pushes above the 1.28082 level the possibility of reaching the Top of the Channel @ 1.28945 (Also the highest level for 2024) is very good.
** Information supplied, recommendations made in this written piece about Analysing the mentioned Forex pair must not be taken as Financial Advice and X&Y Trading (Pty) Ltd and its managers or partners may not be held responsible or held accountable for any loss suffered by anyone deciding to open a buy or sell position regarding the above analysis.
Forex Pair: GBP / USD
Long Term Market Structure:
Price Action since January 2024 is sideways in a Channel between 1.27830 (Top of Channel) and 1.25330 (Bottom of Channel)
The price broke above the channel on 7 March 2024 for 5 days before it pulled back into the channel again. The highest price reached for this breakout above the channel was 1.28945
The price broke below the channel on 12 April 2024 for 27 days before price pushed up into the channel again
Long Term price action suggest that there is not a clear “long term” trend, and that price is moving in between the High and Low of the channel.
Meduim Term Market Structure:
Price is currently moving in the higher part of the channel, but there is still room for movement to the top of the channel so please don’t disregard the possibility of further Bullish movement given the possibility of the Dollar weakening and the Sterling strengthening.
Factors and News that may influence the Price Action of the pair:
- Wednesday 12 June 2024: GDP (MoM) @ 08h00 am in the UK
- Wednesday 12 June 2024: News on Inflation Rate (YoY and MoM) and Core Inflation Rate (YoY and MoM) @ 14h30 pm in USA
- Wednesday 12 June 2024: FED Interest Rate Decision @ 20h00 pm Wednesday 12 June 2024: Wednesday 12 June 2024:
- Thursday 13 June 2024: PPI (MoM) in USA @14h30 pm
Short Term Market Structure:
Price consolidation is taking place (Struggle between buyers and sellers for market dominance) since the sharp decline in price on Friday 07 June 2024 @ 14h00
Price is consolidating in the channel of 1.27390 (Top of channel) and 1.26950 (Bottom of channel)
By reading the Market Structure and current as long as Price Action on longer time frames, I would be making the following predictions to future price action on the pair:
- There is a strong area of interest between 1.27003 and 1.26431.
- A Pullback into this area of Interest is expected.
- Closure and movement in larger time frames (1Hr, 2Hrr or longer) below the level of 1.26431 may result in the price dropping even further to a level of 1.24547.
- If the price stays and keeps on moving above 1.27003 a Bullish Trend to the Top of the Long-Term channel may also take place with Target # 1 @ 1.27595 and Target # 2 @ 1.28082
- However, Momentum towards the “Down side’ is fading Momentum towards the price go down even more after consolidation is not increasing with every bar that closes (4hr)
- If price pushes above the 1.28082 level the possibility of reaching the Top of the Channel @ 1.28945 (Also the highest level for 2024) is very good.
** Information supplied, recommendations made in this written piece about Analysing the mentioned Forex pair must not be taken as Financial Advice and X&Y Trading (Pty) Ltd and its managers or partners may not be held responsible or held accountable for any loss suffered by anyone deciding to open a buy or sell position regarding the above analysis.
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