EURGBP Building A Multi-day Triangle
29 Jan 2015 13:58, GMTTalking Points:
- EURGBP building a multi-day triangle on the hourly chart
- Trend is down, making a down-side break more probabable, however…
- Waiting for a breakout before establishing a position
EURGBP triangle on the hourly chart needs to see a break below 7440 or above 7500 before coming into play. The height of the pattern is just over 100 pips, putting measured moved targets at 100 pips from the breakout point of the converging trend-lines. The daily trend has been decisively down, making for an increased likelihood we see a push lower, however; triangles can also act as reversal patterns. It is this unbiased nature of triangles which make it important to wait for a breakout before taking entry.
EURGBP 1-Hour: Jan ‘15
--- Written by Paul Robinson, DailyFX Research
To contact Paul, you can email him at instructor@dailyfx.com
DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.