Bears gaining momentum | 10 July 2017

10 July 2017, GBP/USD

Bears gaining momentum

Wave Analysis:

During the previous trading day on Friday, the cable lost 100% the value it gained during the last two trading days(Wednesday and Thursday last week). This is a possible sign that bears are encroaching this market and therefore buying or holding onto a long position in this pair may not be the best choice. That said, during this intraday, we expect a possible bearish price rally towards the daily support level 1.2777. Only a clear break below this support level will push the price further to the lower side. Expect a similar wave count in EURUSD, AUDUSD and NZDUSD. These pairs have a strong positive correlation and will have a similar price action during this intraday.
Trade Recommendations:
Expect a possible bearish price rally towards 1.2777

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Bob Stan
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