GBPUSD Channel Trading

Looking at the chart below we can see how interestingly GBPUSD has been trading for the past 5-6 weeks, every swing move has been confined in an nicely defined channel. Breaking out of the channel meant a trend reversal, with this in mind we are waiting for the current bearish channel to be broken especially considering how steep and tight it is; a conservative trading approach would be to wait for the first retracement after the break and open a position there, however aggressive traders will certainly want to enter at the start of the move fine tuning an entry on the smaller timeframes right after the break.

Looking at the chart below we can see how interestingly GBPUSD has been trading for the past 5-6 weeks, every swing move has been confined in an nicely defined channel. Breaking out of the channel meant a trend reversal, with this in mind we are waiting for the current bearish channel to be broken especially considering how steep and tight it is; a conservative trading approach would be to wait for the first retracement after the break and open a position there, however aggressive traders will certainly want to enter at the start of the move fine tuning an entry on the smaller timeframes right after the break.

 

[NP][/NP]