GBP Weekly and Daily Charts.
GBP Range bound between the Quarterly and Monthly 50% levels, and will probably remain so until the end of next week.
We can see that price is in a 'Monthly' UP trend, as it's trading above the Monthly 50% levels, but the secondary trend remains bearish trading below the Quarterly 50% level.
If there is going to be a 2nd wave higher it would need to test the August 50% level and then rise higher.
Therefore next weeks expectation is more 5 day rotation, like what occurred this week.
"Weekly 50% level is the trend guide and the possibility that GBP could move as high as the Weekly highs next week.
Weaker pattern :- would be an UP move into the 3-day highs and then a trending down day closing below the Weekly 50% level." (Previous Weekly report)
3-day pattern and filter
Last Week played out precisely, rising up on Monday from the Weekly 50% level, and then selling down from a higher Tuesday (3-day highs).
The rest of the week was pattern rotation using the 3-day filters of rotation and extension:- using both momentum trading from 50% levels outwards, and regressive patterns back towards the 3-day filters .
And I think next week will be the same.
- Daily Trading Set-ups & Analysis
