Talking Points
- Strategy: Flat, Short Pending On Close Below 1.5585
- Searching For Direction As Denoted By A Doji On The Daily
- H4 Short Body Candle and Doji Medley Indicates Indecision
GBP/USD’s sideways range endures with a Doji on the daily suggesting traders remain indecisive on the pair. This leaves a more a more constructive setup desired to offer a positioning bias. A close below the range-floor at 1.5585 would likely reignite more powerful negative sentiment and may open the 1.5425 barrier (the late August ’13 low).
GBP/USD: Consolidation Continues With Cues From Candlesticks Lacking
Daily Chart – Created Using FXCM Marketscope 2.0, Volume Indicator Available Here
The four hour timeframe paints a similar picture to the daily. A medley of short body candles and Doji formations further indicates a lack of conviction amongst traders.
GBP/USD: Medley Of Short Body Candles Indicates Indecision
4 Hour Chart – Created Using FXCM Marketscope 2.0, Volume Indicator Available Here
By David de Ferranti, Currency Analyst, DailyFX
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