GBPUSD Potential H4 Bullish Order Block/Demand Area
Actualizado
Today we have GBPUSD mitigating off the H4 Bearish Order Block and approaching the H4 Bullish Order Block. TP level is set at 0% fulfillment of the H4 Bullish Order Block for a sweet 21R because there are rare instances where price takes off at 0% fulfillment and we don't want that to happen. Nothing is more painful than seeing your profits getting eroded (more painful than taking losses IMO)
Concurrently, we can take longs at the H4 Bullish Order Block/Demand Zone in 2 ways :
1) At 50% fulfillment level with tight stops at 100% fulfillment or add a few pips below the 100% fulfillment for good measure. This is a more aggressive entry but this ensures that we do not miss the trade in case if price rebounds quickly away from the demand zone [illustrated in red]
2) Wait for a creation of a smaller timeframe bullish OB at the 50% fulfillment level and then enter longs at the 50% fulfillment of this smaller timeframe bullish OB. This is a more conservative entry but this ensures a higher probability of winning as sometimes price might plunge through the OB causing a loss if we take method 1 but we could miss the trade [illustrated in dark green]
Basically method 1 has a lower win rate but ensures that you are tapped into the trade while method 2 has a higher win rate since we wait for confirmations but might miss the trade.
Pick your poison :)
Concurrently, we can take longs at the H4 Bullish Order Block/Demand Zone in 2 ways :
1) At 50% fulfillment level with tight stops at 100% fulfillment or add a few pips below the 100% fulfillment for good measure. This is a more aggressive entry but this ensures that we do not miss the trade in case if price rebounds quickly away from the demand zone [illustrated in red]
2) Wait for a creation of a smaller timeframe bullish OB at the 50% fulfillment level and then enter longs at the 50% fulfillment of this smaller timeframe bullish OB. This is a more conservative entry but this ensures a higher probability of winning as sometimes price might plunge through the OB causing a loss if we take method 1 but we could miss the trade [illustrated in dark green]
Basically method 1 has a lower win rate but ensures that you are tapped into the trade while method 2 has a higher win rate since we wait for confirmations but might miss the trade.
Pick your poison :)
Operación activa
Price has tapped into the H4 Bullish Orderblock/Demand zone and we can see some mitigation. We shall see how the trade plays out next week
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