EURUSD. Pair is consolidating in the range (1.3861-1.3967) on the daily chart. Fibonacci extension 1.4000 has reached. The next is 1.3640. You can try to put buy stop order on the 1.3967 level, put stop-loss order just below 1.3861 in this case. You can try to put sell stop order on the 1.3861 level, put stop-loss order above 1.3967 in this case. There are many false alarms possible during consolidation. It makes trading difficult. I recommend to use the tactic of re-entry.


GBPUSD . A pair is trading in the downstream channel. Target Fibonacci extension 1.5818 coincides with the support  zone.  You can try to put sell stop order on the 1.5818 level, put stop-loss order above 1.6100 in this case. You can try to put buy stop order on the 1.5976 level, put stop-loss order just below 1.5800 in this case.  There are many false alarms possible during consolidation. It makes trading difficult. I recommend to use the tactic of re-entry.
 
 
Elena Chernaya, Chief Currency Strategist
ELAN Investment Solutions

back to the articles list