Looking for the best entry point on decline
03 December 2015, GBP/USD
Daily chart: meanwhile, multiple sources of the oscillator's convergence do not bring any dividend to bulls. However, support from the bottom Bollinger band (1.4938) may keep the pair in the bottom part of the envelope (with resistance on the middle band, 1.5158). But it is better to abstain from Buying, because increased activity of ADX is close to trend's value.
Н4: Breakthrough of the bottom envelope is a strong short signal. We expect continuation of decline of the pair. Correction to the area of the middle Bollinger band (1.5033) is possible, which is the best possible area for sales.
Н1: a little more localized area of resistance (1.5008 middle Bollinger band). Intraday support is still at the bottom band (1.4895).
Expectations: So, we wait for fall of the price to 1.4895 and expect a preliminary pullback to 1.5008 to enter trades in the direction of the main trend.
Trading solutions: sales to 1.4985. The best possible option - from 1.5008
Aleksey PanasenkoAnalyst of «FreshForex» company
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