2016-04-18_19-23-44eurgbp daily

This chart has been maintaining a nice pattern since September.

As you can see we have had lower lows and lower highs with deep retracements back to the level of resistance.

As you can also note price is today at support and stochastic seems to want to go up right from the 20 % level.

You may also apreciate that this level of support held before and that price did not dip much lower.

It would be possible to call this a double bottom if you accept a few pips of difference.

So if you want to counter trade or if you believe that a change of trend is occuring due to the double bottom then you might have a bullish bias.

If you want to go long then this would be the place right from support.

On the other hand if you believe price is just retracing and you want to take the next stochastic cycle down then you need to wait for a few days.

 

2016-04-18_19-39-42eurusd15min

We have been making higher highs and lows on the 15 min chart.

If you want to be a bull wait for price to retrace and enter the trade with a bullish candlestick reversal patter or if you prefer with a 5/8 moving average crossover.

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