Skip to main content

Before / After Analysis – Cable (GBPUSD) – January 2018

Beyond identifying technical setups the main issue a trader is facing is that excepted for the rare shear luck situations or due to occasional wit one rarely catches absolute market reversal tops or bottoms.

The following scenario for the cable (GBPUSD) published on 17 January 2018 is a perfect demonstration for this case whereas the bearish rising wedge was clearly identified:

We commented:

The GBPUSD pair now appears to have scope to reach 1.40, which may present itself as another shorting opportunity.
GBPUSD Weekly Price Chart, 17 Jan 2018
Cable Bulls Raging

The outcome has been for the Cable to reach our target but to overshoot it twice and thereby constructing a double top formation at 1.435 / 1.438 before the longer term downtrend finally resumed. The red mark on the chart indicates the position of our trading signal around 1.38. Ten months later end of December 2018 the cable marked a bottom at 1.237.

GBPUSD Weekly Price Chart Update
No Comments Yet

Leave a Reply

Your email address will not be published.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

This site uses Akismet to reduce spam. Learn how your comment data is processed.

%d bloggers like this: