Dynamic Trader Forex Blog FXCPS.co.uk: EURGBP Double Bottom ?

Good Evening / Morning Dynamic Traders

"Better to have tried and failed, than not tried at all"

Cross = EURGBP : Day Chart (Posted Below)

I do hope most of you followers made plenty of pips on last weeks cross of the NZD, There was an easy 200 pips for your gathering if you had followed the blog and only today have we seen a turn in price.

On looking through my charts at the week end I noticed the EURGBP as been in an interesting phase and thought it would be a good one to share with you for the week ahead. So as normal lets start from the top.

The Monthly chart shows from 1996 - 2003 we were in a cup and handle pattern before consolidating from 2003 - 2007. Since then we have been in an uptrend taking price not quite to the BIG RN 1.0000. Since then we are in a pendant chart pattern awaiting a breakout. RSI has been over 70 and has recently returned under this level. Stochastics are pointing down and crossed below the 80 line in January this year.

The Weekly chart shows the pennant in greater detail and the Advanced Get "Elipse" indicates a deeper pullback towards the VI. For this to happen we would like to see price fall below our trend line and support.

Our Daily chart offers a shorter term offering of an upwards move, having given us a double bottom on the trend line. With the VI trailing below to catch us, we currently are locked into a dog fight with the RN 0.90000. Winning this fight could see our target of the resistance trend line, remembering the longer term trend was DOWN.

Our 60 mins chart shows the current dogfight in full detail and also divergence between price and the MACD signal line.

I will leave you with the DAY chart, feel free to refer to the other timeframes as indicated and see what you can see.

Now LOOK again and What can you NOT see ?