- April 7, 2021
- Posted by: cabana-admin
- Category: forex trading, Market Insights
General overview: Bulls are trying to break range bound territory in the market. The pair is trying to maintain bullish grip over the market a move towards the bullish side in the market. The EUR/GBP edged lower on Wednesday and eroded a part of the overnight strong gains. A combination of converging trend-line constitutes the formation of a falling wedge. The bulls are crossed the negative basis through Asian session. The pair fined the breakout level 0.8488 levels in the market and trying to rise towards the higher side in the market. On hourly chart we can see the golden crossover in the chart try to form proper buy signals in the chart.
Technical analysis: From the technical point of view we can say that market is towards the buy side in the market. The overnight strong intraday short-covering move of over 100 pips stalled near 200-period SMA on the 4-hour chart. The pair is creating the bullish side in the market. The pair formed the bullish pattern in the market. As its holds itself towards the buying mode and trying to break the 200 SMA level for the strong buying support. Odds are in favors of the market and create the buying region over the market. On the 4 hourly charts RSI is in oversold stage and we can see golden crossover here also. The pair breaking all the levels in the chart and gives us confirm buying in the market. Macd is also above the zero line and formed the buying confirmation in the market. The support level will be 0.8545 followed by 0.8495 and resistance will be 0.8645 followed by 0.8695.
Trade idea: Our traders will sit towards the buy side at level above 0.8595 target will be 0.8675 followed by 0.8715 and stop loss will be 0.8515.