EUR/GBP going down

Looks the EUR GBP pair is going to go down… what are your views?

Eventually everything inf forex goes down and everything goes up. The question is what to do about it.

I’m long EUR/GBP and will stay with it until the uptrend fails. I don’t want the risk of being short on a chart here like this but if it goes into a downtrend I’ll get short.

Hi Tommor,
Thanks for sharing your views… I felt, the uptrend was started around 6th May and continued till Thursday the 23rd May. Looks the downtrend started after that last week… The same trend with EUR-NZD…

You can say the uptrend started 06/05 and its technically true because that day’s low marks the low since that date also. But the date is only significant in hindsight. At the close on 06/05 there was no uptrend.

Likewise on Friday night we had a weak close but right now that is not a downtrend.

But of more practical relevance is what to do about Friday’s close. As ever, the choices are buy, sell or stay out. And its either buy now or set a buy order: and its either sell now or set a sell order. Which do you favour? And if you decide an entry is the best course of action, where is the stop?

Hi,

i decided to short on last week Thursday the 23rd May at 0.8835…Wasn’t expecting it to go high to 0.8849 on Friday the 24th May, but the price came down quickly so wasn’t worried that much… But yes have SL at 0.8855 to be safe… The way it is rallied to 0.8850 in past few days, I guess it will come down to around 0.85 but yet to get confirmation and too early to say any.

You did well to get short near that day’s high. Otherwise we’ll have to agree to disagree - there are two reasons to short a market at a particular time - one is because price has been rising, one is because price has been falling. Time will tell.

I shorted 23may with 0.8853 sl point and it was almost hit but I also believe next week it will go down at least 0.8770 area

Yes, I guess would touch around 0.8725 in a few days time…Lets see…