On my previous post on GBPUSD 6th June 2010, I mention that we are looking for more downside in GBPUSD only if it breaks the Trend line (in red). However, it gets supported and forms a higher low instead.
On the daily chart of GBPUSD, we can see two channels being established. The bigger picture trend is down (in black); however there is also an up trending channel (in red).
There is also seemingly a double bottom formation; currently price is being resisted at the Resistance Zone (highlighted in red) where we can see how price interchange support and resistance. This seemingly double bottom will only be true if the neckline (in blue) is broken and the bar has to close above it.
On the four hourly chart of GBPUSD, price hit the 76.4% Fibo level, also there’s a channel (in red), which could suggest a strong support and thus, price goes up.
There is a possible throw back zone at around 1.4550, which is the green horizontal line where there is an interchange of support and resistance level.
However, given above is just a possible throw back level, Tflow® trigger still have to apply for the move to come.
