A closer look!!!

Good Morning Dynamic Traders,

Yesterday we got familiar the GBPUSD, so today I thought we could dive in and have a closer look at the action.
In the 4hour chart below you can see very clearly where price has was climbing and then dropped. The VI had a huge part to play in catching price from dropping further, and you can see that the VI caused price to start oscillating. As well as the VI price also dropped to a nice RN, which is also at S/R line. I have drawn this S/R line in the chart below and if look along line you see that this is S/R line has been tested by price 4 or 5r times before. The VI, S/R line and the RN have all done a wonderful job is catching price from falling further, but is it enough?













It’s still early days before we can confirm that price is going to start climbing again, but some good news for price is that the MACD is showing signs of divergence.
It will be interesting to see what action today brings.

Happy Trading

Richard Monnery