The GBP/USD is currently in a noisy consolidation period on the D1 timeframe. There is a possibility of some great trades setting up.
If we take a look at the Technical Analysis, we see that overall trend is in a short/neutral state.
What Others Are Predicting
Brexit is still causing uncertainty, and this first test of the resistance trend line on the daily chart provides a good opportunity to sell the GBPUSD . GBPUSD Daily chart analysis, the fall in the blue channel, in 4 h chart we see a model of a head and shoulders bottom, forming a triangle model. Trade plan: 1. Waiting for a breakthrough to buy the first pullback after the above the trend line . 2. Or wait for below the blue resistance after springback sell below. The Tidal Shift Strategy has just bought GBPUSD at 1.22868. The system recommends entering this trade at any price between 1.22692 and 1.23044. The signal was issued because our Speculative Sentiment Index has hit its most extreme negative level for the past 145 trading hours at 1.96118, which suggests that the GBPUSD could be trending upwards.The 14-period Average True Range on a daily chart is 0.00141, so the stop loss has been set at 1.22162. This stop loss order is a trailing stop that will move up as the market moves up. There is no profit target for this strategy. We expect to be closed by the stop loss.Tidal Shift is a trend trading strategy that aims to catch shifts in trend using trader sentiment as an indicator. The strategy looks to buy when the Speculative Sentiment Index reaches its lowest value for the past 145 trading hours, and looks to short when it reaches its highest value for the past 145 trading hours.
My Thoughts!
If price breaks and holds above D1 Resistance of 1.22858, then we have a nice setup for a long entry.
If price breaks and holds below MN1 Support of 1.21580, then we have a nice setup for a short entry.
