The EUR/USD is unable to break above the daily 21 ema zone but also fails to invalidate the inverted head and shoulders pattern at 1.13. The choppy sideways zone also increases the chances of a false breakout. The same is true for the GBP/USD as well which is moving slowly lower but remains unable to break below 1.26. Write a review on Forex Peace Army and help ECS.
The EUR/USD wave pattern is favoring a bullish breakout but the best is to wait for a clear bullish break on the daily chart above 1.14 before trading it. A retest of the 1.1250-1.13 support zone is the critical step.
The GBP/USD is showing huge price volatility on the lower time frames and any break could become a false breakout. The best is to monitor the daily candles for an significant push away from the consolidation zone.
Check out the video below for the full analysis and trade plans on 6-8 Dec 2018:
- EUR/USD, GBP/USD technical analysis
- Review of patterns, trends, key S&R levels
- Explanation of potential trade ideas both up and down
- Beginner friendly, explaining concepts in more detail
EUR/USD, GBP/USD video: