Volumetric analysis on July 26
Today we are waiting for the ECB President speech and possible movements caused by it. We note for ourselves the upper limit of resistance at 1.1790 and the lower support limit of 1.1625. It is important that the breakdown of these levels does not take place before important news. If we see a breakdown of 1.1790, then the probability of a trend upward, in the coming days, is significant. It is worth at least wait, when the market calms down, and consider already long positions, after the price is stabilized above the 1.1790. If we see a decline in the price below 1.1625, then in the market, sellers have priority, and we will at least continue to bargain in the outset.
In general, the upward movement is our priority. However, in the price are of 1.3235 there was an initiative of sellers. And hence the probability of a price rebound down is present. But for ourselves we will distinguish two zones. 1.3155-1.3130 and 1.3115-1.3070. There, you can count on the reaction of the price and upwards rebound, at least to 1.3235. If we fall below the 1.3070, then the pound as an uptrend is no longer considered.
The breakdown of support showed us that the downward movement is more priority. At the moment of breakdown, the volume appeared in the ranges 1.3065 - 1.3095 - 1.3135. If the seller’s initiative is strong, then the price should not be higher than 1.3135. So, any movement upwards, we consider as correction, and on the indicated prices, we wait for reaction on volume and release upwards. An approximate goal can be marked at 1.2965.
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