EURGBP long Thursday Nov 7, 2024A long on EURGBP based on interest rate differential between the Euro and the GBP.
Trading is based almost entirely on technical indicators that use past price action to forecast future price action. However, the trader who ignores fundamental forces that move markets is at a disadvantage to traders who factor fundamental data into their trading decisions.
The fundamental data that have the most effect on exchange rates are interest rates, which affect the perceived value of currencies. While central bank rates are not volatile, the yields on government bonds, such as the U.S. 10-year treasury note, fluctuate on all time frames in global bond markets. Those yields reflect the expectation the market has as to where future central bank rates will go. Bond yields are often a leading indicator of interest rates and of exchange rates. In the forex market, the metric that applies to a currency pair is the interest rate differential, especially the delta, or change in the interest rate differential, on various time frames.
This trade shows a case where movement of the interest rate differential, expressed in basis points, in the positive direction was a leading indicator of movement of the EURGBP currency pair in the same direction.
EURGBP trade ideas
EURGBP Will Grow! Buy!
Take a look at our analysis for EURGBP.
Time Frame: 12h
Current Trend: Bullish
Sentiment: Oversold (based on 7-period RSI)
Forecast: Bullish
The market is trading around a solid horizontal structure 0.833.
The above observations make me that the market will inevitably achieve 0.838 level.
P.S
We determine oversold/overbought condition with RSI indicator.
When it drops below 30 - the market is considered to be oversold.
When it bounces above 70 - the market is considered to be overbought.
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BUY EURGBP for bearish trend reversal STOP LOSS : 0.8295BUY EURGBP for bearish trend reversal
STOP LOSS : 0.8295
Regular Bullish Divergence
In case of Regular Bullish Divergence:
* The Indicator shows Higher Lows
* Actual Market Price shows Lower Lows
We can see a strong divergence on the MACD already and There is a strong trend reversal on the daily time frame chart.....
The daily time frame is showing strength of trend reversal from this strong level of Support so we are looking for the trend reversal and correction push from here .....
TAKE PROFIT : take profit will be when the trend comes to an end, feel from to send me a direct DM if you have any question about take profit or anything
Remember to risk only what you are comfortable with…….trading with the trend, patient and good risk management is the key to success here
EURGBP - How will BOE decisions affect the pound?The EURGBP currency pair is below the EMA200 and EMA50 in the 4H timeframe and is moving in its medium-term descending channel. In case of an upward correction due to the meeting of the Central Bank of England today, we can see the supply zones and sell within those zones with appropriate risk reward. Breaking the specified support range will pave the way for this currency pair to continue its decline
Britain’s Treasury Secretary, Reeves, stated that it is still too early to make changes to economic forecasts following the U.S. election. He also expressed confidence that trade flows between the UK and the U.S. will continue under Trump’s presidency, noting that during Trump’s previous term, the two nations had a strong and constructive relationship. Reeves showed optimism about Britain’s role in shaping the global economic agenda.
Meanwhile, the risk of a German government collapse appears more serious than ever. The German government has entered a new phase of political crisis that could potentially lead to the final breakdown of the ruling coalition.
Last Friday, a document from Germany’s Finance Minister, Christian Lindner, was leaked, outlining his plans for economic reform in Germany. This document analyzes the economic challenges facing the country and offers proposals, such as corporate tax cuts and increased working hours. With internal tensions peaking, the likelihood of government collapse has risen.
ECB Vice President De Guindos stated that the European Central Bank is committed to a data-driven, meeting-by-meeting approach and is increasingly confident in achieving the 2% inflation target. Goldman Sachs, in its latest report, has lowered its GDP growth forecast for the Eurozone in 2025 to 0.8%, down from the previous forecast of 1.1%. This revision was attributed to potential threats stemming from Trump’s tariff policies following his reelection.
EURGBP| ANALYSIS | SIDEWAYS PRICE ACTION !WE ARE LOOKING AT THE EURGBP TO REBOUND 0.83697
giving us 60 pip towards the upside
key support area 0.83091
if it breaks then we will see a bearish price action
a 50 pip downward moment
please manage your risk if you agree with my idea do not trade blindly
always trade responsibly . don't rush market will always give you an opportunity
DeGRAM | EURGBP reversal patternEURGBP is above the descending channel between the trend lines.
The chart has broken the descending structure, but also formed a reversal harmonic pattern.
The price has already reached the resistance level and the upper trend line.
We expect a correction.
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Sell EUR/GBP Channel BreakoutThe EUR/GBP pair on the M30 timeframe presents a potential selling opportunity due to a recent downward breakout from a well-defined Bearish Channel pattern. This suggests a shift in momentum towards the downside in the coming Hours.
Key Points:
Sell Entry: Consider entering a short position around the current price of 0.8392, positioned close to the breakout level. This offers an entry point near the perceived shift in momentum.
Target Levels:
1st Support – 0.8340
2nd Support – 0.8305
Stop-Loss: To manage risk, place a stop-loss order above 0.8422. This helps limit potential losses if the price unexpectedly reverses and breaks back upwards.
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EUR/GBP - Clear Bearish Momentum in Play --- ENTER NOWEUR/GBP has hit a clear daily trendline and was bullish in the short-term, however, it appears the bullish move is over and will continue its bearish descent. This is an easy 1:2 RR trade if you enter now. This is very likely to occur and will be risking a little more on this type of set up.
Stuck in the Triangle? EUR/GBP's About to Break FreeAlright, let’s break down this EUR/GBP setup!
Looking at the daily, we see EUR/GBP recently had a strong bullish push, but now it’s hitting a bit of consolidation just above the daily support at 0.83950. That area has acted as a significant barrier before, so if price can stay above it, we might see another leg up. On the daily, the 21 EMA is below price, showing that buyers are still holding on, but it’s struggling to break out decisively above that 0.84242 level.
Switching down to the 4-hour, we can see that price is coiling up in a tight range, forming a triangle pattern. This setup is perfect for a breakout trade – we just need to see which direction it wants to move. If it breaks above the trendline around 0.84000, we could look for a buy, targeting the next resistance at 0.84242, and possibly higher if momentum kicks in. But if it breaks down below the 0.83950 support, then we’re likely looking at a sell with a target toward 0.83573.
So here’s the plan: wait for a solid breakout from this triangle pattern on the 4-hour. Look for an entry around the breakout area, keeping your SL just below the structure on either side. Remember, let the market show you the move; patience pays, especially with consolidation setups like this.
EURGBP LONG FOR 50PIPS1. Current Trend Analysis
If the pair is in an uptrend or showing signs of bullish momentum, a long position is more favorable.
Look for support levels near the entry point, such as recent lows or Fibonacci retracement levels, to provide a better base for a long position.
2. Entry and Exit Points
Entry: A good entry would be around a key support level where the pair has shown repeated rebounds, with a clear signal (such as a bullish candlestick pattern) indicating a reversal.
Take Profit: For a 50-pip target, select a level near a recent high or a resistance level that aligns with the uptrend, like a previous swing high.
Stop Loss: Place a stop loss below the support level or recent low (at least 20–30 pips below) to protect against a reversal.
EUR/GBP Short H4 " The Pound gaining pounds ?"Sell Limit @ 084534
S/L @ 0.84825
T/P1 @ 0.83700 (Tight Stop)
T/P2 @ 0.83060
R.R.R. @ 1/5
Seeing Impulse Bearish in construction of Minor Wave 3 has Minute Wave iv finish retracement on his way to Minute Wave v has first profit target. Sit tight !
Good Trading 👍