GBPUSD-bullish butterfly and cluster for a reaction
Hello, this pair is near a strong cluster where we could expect some pullback or trend change.
Lets see them separately:
We have a wedge and the 1.61 fib extension near the strong psychonumber 1.500. AO also shows bullish divergence.
Last AB=CD pattern near that area also. According to EW that area was a previous wave 4 that could act as support now:
On this chart we have a perfect bullish butterfly almost complete.
IF price get to the PRZ we could expect a reaction or trend change after a strong decline last week.
I would place buy limit orders at 1.500 because this price is a strong support.
SL and targets shown on chart.
Best Regards.
Lets see them separately:
We have a wedge and the 1.61 fib extension near the strong psychonumber 1.500. AO also shows bullish divergence.
Last AB=CD pattern near that area also. According to EW that area was a previous wave 4 that could act as support now:
On this chart we have a perfect bullish butterfly almost complete.
IF price get to the PRZ we could expect a reaction or trend change after a strong decline last week.
I would place buy limit orders at 1.500 because this price is a strong support.
SL and targets shown on chart.
Best Regards.