analysis chart GBPUSD with price action
1️⃣ The downtrend (following Dow) is still dominating the GU chart on the D1 time frame chart.
However, if we look at the H4 time frame chart, we will see that the price line has formed a bottom divergence. And the current price line is correcting.
At present, it is easy to see that the price line has formed a very basic pattern of Heads and shoulders
📢𝑳𝒖̛𝒖 𝒚́: But when trading the head and shoulders pattern, analysts and investors should beware of corrective waves that can break through fundamental neckline levels. These waves can make a deep correction towards the shoulder areas.
The next waves of the chart are considered to throwback to the neckline area and continue to develop up.
3️⃣ The price target can go to 1.34024 area. This is also the 61.8% zone of the D1 timeframe retracement wave.
However, if we look at the H4 time frame chart, we will see that the price line has formed a bottom divergence. And the current price line is correcting.
At present, it is easy to see that the price line has formed a very basic pattern of Heads and shoulders
📢𝑳𝒖̛𝒖 𝒚́: But when trading the head and shoulders pattern, analysts and investors should beware of corrective waves that can break through fundamental neckline levels. These waves can make a deep correction towards the shoulder areas.
The next waves of the chart are considered to throwback to the neckline area and continue to develop up.
3️⃣ The price target can go to 1.34024 area. This is also the 61.8% zone of the D1 timeframe retracement wave.