Welcome to our newest feature; DecaPip. The concept is simple: our professional market technician, with an exceptional system, showcases his own daily Support and Resistance levels across a broad spectrum of FX currency pairs. The most effective way to use the levels are:
- If indicated levels hold, look for the price to reverse.
- If levels are broken, look for the price to continue past to new highs or lows.
After yesterday’s Federal Reserve Meeting we had some exciting price action on a number of currency pairs,least of which the GBPUSD which seems a worthy candidate for our attention today on DecaPip Daily after putting in a huge reversal candle on the daily time frame.
For a number of traders who want to sell GBPUSD this could present them with the chance to take a position and hope for some well needed momentum,myself included.
Key points to mention for traders would be that we are still making higher weekly high’s and higher daily high’s which may have some traders nervous to sell at the moment.A lower high on the daily candle today and lower low may encourage some selling pressure.
If we take a closer look at the daily chart below we can start to get a clearer picture of the last few days on GBPUSD.
A higher time frame close under 1.5589 will encourage some selling and for the risk averse they may wait for a higher time frame close or a daily close under the 1.5535 support level.
Traders who are waiting for a retrace to sell into will look for the 1.5638 level with stops above 5655 and similarly we still have a risk with a new weekly high in place that we may be tackling the 1.5733 resistance level as highlighted above sooner rather than later.
Got any questions about our new DecaPip feature? Contact Nathan at Nathan@littlefishfx.com
All comments, charts and analysis on this website are purely provided to demonstrate our own personal thoughts and views of the market and should in no way be treated as recommendations or advice. Please do not trade based solely on any information provided within this site, always do your own analysis. For more information please see our full disclaimer in the footer below.