GBPUSD - Sideways For Six Years And Counting
The currency market has not offered consistent long-term opportunities for a number
of years now, and looking at the chart of the GBPUSD, we can see why.
Price went in a decline from July 2014 to October 2016, falling from 1.7191 to 1.1904.
Since then, price has not moved away from the range consisting of a high at 1.4376
and a low at 1.1904.
In March 2020, price did break the low support, but the following month returned
inside the consolidation zone and continued to move sideways.
In this type of market, there is not much we can do as trend-followers because we
need price to be in a trend. This market is very difficult to trade but will be infested
with many day traders and swing traders.
The easy profits are made in a trend, but that requires patience. A strong trend is
likely to unfold once price breaks out, which may be to the upside or the downside.
This is because a strong trend usually follows a lengthy period of consolidation.
We will have to keep monitoring the GBPUSD and be ready once a breakout occurs.
If you like enjoyed this post, make sure to like, and follow for more quality content!
If you have any questions or comments, comment below. We reply to every comment!
See below for more information on our trading techniques.
As always, keep it simple, keep it Sublime.
of years now, and looking at the chart of the GBPUSD, we can see why.
Price went in a decline from July 2014 to October 2016, falling from 1.7191 to 1.1904.
Since then, price has not moved away from the range consisting of a high at 1.4376
and a low at 1.1904.
In March 2020, price did break the low support, but the following month returned
inside the consolidation zone and continued to move sideways.
In this type of market, there is not much we can do as trend-followers because we
need price to be in a trend. This market is very difficult to trade but will be infested
with many day traders and swing traders.
The easy profits are made in a trend, but that requires patience. A strong trend is
likely to unfold once price breaks out, which may be to the upside or the downside.
This is because a strong trend usually follows a lengthy period of consolidation.
We will have to keep monitoring the GBPUSD and be ready once a breakout occurs.
If you like enjoyed this post, make sure to like, and follow for more quality content!
If you have any questions or comments, comment below. We reply to every comment!
See below for more information on our trading techniques.
As always, keep it simple, keep it Sublime.
