** update: stopped out, re-entered at 1.5169 long
After a very big bearish shark which completed at 1.5551 after 56 days, the GBPUSD rate retreated 50% of leg BC. Now, on a 4H chart you can see that the pair recently broke out of an upward channel.
Also, the last advance to the C point of the bigger shark, extended 1.113% and did not touch the 1.1272% extension. The expected retracement level is at the 0.886 (that's why I like this pattern to call the shark886). The completion of this shark could potentially set up a new wave of bulls to test the breakout. After the retest I expect the pair to continue lower to complete the shark 5-0 pattern.
If this little shark886 fails, i will re-enter long with a shark113
After a very big bearish shark which completed at 1.5551 after 56 days, the GBPUSD rate retreated 50% of leg BC. Now, on a 4H chart you can see that the pair recently broke out of an upward channel.
Also, the last advance to the C point of the bigger shark, extended 1.113% and did not touch the 1.1272% extension. The expected retracement level is at the 0.886 (that's why I like this pattern to call the shark886). The completion of this shark could potentially set up a new wave of bulls to test the breakout. After the retest I expect the pair to continue lower to complete the shark 5-0 pattern.
If this little shark886 fails, i will re-enter long with a shark113
