GBPUSD LONG IDEA

7 août 2019

-Continuation after correction

7 août 2019

Trade fermée: cible de profit atteinte

13 août 2019

Note

(Journal) In environments like this, it's important to establish that the 1H chart should bag only a few pips. 4H charts+ will establish the overall trend. The 1H chart should be either looking for entries to join the continuation of that trend or let's say using confluence of different timeframes. The 1H chart is moving upwards, but on the 4H and daily, market sentiment is down. My main approach to this environment is to buy into the retracement, which is what I believe I did here, then sell the high and push the market back down. As you can see, on the 1H, the exchange rate is still moving below the 200 ema. In order to get a proper feel for the overall direction, I should check for a relationship and make sure price still moves below on a higher timeframe, if so continue to trade bearish. I can buy into the retracement, but don't fight the trend expecting price to suddenly reverse, that's very unlikely. The market is always right.