Head and Shoulders on EUR/GBP

Head and Shoulders on EUR/GBP

The EUR/GBP currency pair has become stable after prolonged growth. The trading instrument is in a sideways trend. The current technical pattern signals a possible correction of EUR/GBP quotes. On the 4-hour chart, a classic "Head and Shoulders" reversal pattern, which indicates the development of a downward trend, has been formed. At the moment, the trading instrument is consolidating near the local support of 0.8875. We recommend paying attention to this situation.

If the price fixes below 0.8875, EUR/GBP sales should be considered. The nearest goal for profit-taking is the level of 0.8810. In the medium term, the EUR/GBP currency pair can reach the level of 0.8730-0.8680. Confirmations and market entry points should be looked for on lower timeframes. When following positions, we recommend using a trailing stop.

by JustForex 2020.06.09

This article reflects a personal opinion and should not be interpreted as an investment advice, and/or offer, and/or a persistent request for carrying out financial transactions, and/or a guarantee, and/or a forecast of future events.

Open Account

Get Free Analytics

* required fields
Last Articles
All Articles
Choosing Currency Pairs in Forex Trading
The forex market is the most liquid one among other markets where banks, brokers, corporations, traders, investment and hedge funds actively participate in the exchanging operations and set the pace. In this article you will find out how to make this "currency choice" and meet your trading objectives.
Read more
The Best Time to Trade Forex in Malaysia
The forex market has its ups and downs throughout the day, meaning that the activity in the morning is completely different from the activity in the evening. As a trader, you want to enter the market at its most active hours. Read on to learn more about the most advantageous time for trading currency pairs in Malaysia.
Read more
What is the Best Time to Trade Forex in Indonesia
Your trading results depend on many things. One of them is the time of the day when you trade. This article is to help you build an optimal schedule for your profitable forex trades and find the best hours for trading forex in India.
Read more