TECHNICAL ANALYSIS

For the GBPUSD, it is not easy because the volatility of the stock is at stake


Abrupt up and down moves on Brexit headlines

The GBPUSD has been on a “Mr. Toad’s wild ride“Today, as the Brexit headlines have led to rapid swings. It has the potential to wrest defeat from the jaws of victory and make traders feel like they’re out of step with the highs and market downturns, it’s not easy.
Abrupt up and down moves on Brexit headlines

Looking at the hourly chart, today’s initial high broke above yesterday’s high at 1.29422, but then fell to 1.2818. This lower move removed its 100-hour moving average (blue line), but stalled in a wide swing zone between the 1.2800 level and the 1.28215 level (see red numbered circles and lower yellow area).

If you had luck and patience, buying into this area led to a lucky break up on other Brexit headlines. The day’s highs were removed and the price climbed to 1.2978 where another stock pulled the pair back to another area of ​​oscillation between 1.2892 and 1.2902. The 50% day trading range is within this zone. Can the support area now hold?

When headlines from external events that are interspersed at random during a trading day play an influence, it requires caution and a bit of luck. It also likely leads to being a bit more conservative when you’re in luck (i.e. need to take some profit).

It is not easy. You always have the option to sit down. However, if you are there, be patient. Wait for your levels but have your finger on the button and be prepared to accept a title that may go against what you hoped for. If you are lucky, be grateful and look for a profit.
For banking transaction ideas, check out eFX Plus

Tags

Related Articles

Leave a Reply

Your email address will not be published. Required fields are marked *

Back to top button
Close
Close