EURGBP has broken resistance and is looking to test that support/resistance.
For me to place a trade, I am looking for a couple of confirmations.
I like to call this strategy the 1,2,3,4 strategy ( Look at blue numbers) 1 is a pullback that made a resistance from previous downtrend 2 is a downtrend that broke that resistance 3 is a pullback into the 1 zone which is now support 4 is the trade
For #4 to occur, I need the following: 1.) Doji or large wick in support zone on 1hr chart. or 2.) A double top to form in the gold zone/ support zone/1 zone.
If one of these occurs, stops will be placed above gold zone, targeting 2.5 RR.