FxWirePro: Cable’s consolidation phase spikes through rising channel, hammer counters minor downtrend – Bid boundaries for trading

Chart and candlestick formed: Hammer pattern on the intraday chart and rising channel on weekly plotting.

Hammer pattern candle has occurred at 1.4072 levels on the 4H chart, thereby, the rallies seem to be shrugging-off previous bearish swings, the current prices have spiked above 7SMAs, while both leading indicators to favor buying interests.

Well, but before we proceed further, please go through below weblink where we’ve spotted and demonstrated the bullish potential offered by the hammer pattern occurred through rising channel on weekly plotting:

https://www.econotimes.com/FxWirePro-GBP-USD-hammer-at-rising-channel-support-cushions-slumps-shooting-star-counters-Consolidation-phase-in-intermediate-trend-intact-1053308

On a broader perspective, the current has still been spiking through rising channel pattern (on weekly plotting), testing support hovering at 7EMAs and hammer pattern candlesticks occur at every channel support that intensifies the bull rallies.

As a result, the upswings have spiked well above EMAs with bullish crossover, both leading & lagging oscillators converge upwards (weekly charts), coupled with the fact that the intermediate trend and major trend has gone into the consolidation phase, we foresee most likely price spikes further.

You could still see as and when the price touches channel support, sharp spikes are seen upon hammer pattern candlesticks (weekly plotting).

For now, more upside potential is foreseen as the current prices testing support at 7EMAs.

On the flipside, the major stiff resistances are seen at 1.4162 levels. But both the leading oscillators have been constantly converging upwards on monthly terms to signal strength in rallies.

Trade tips: On an intraday speculative basis, we advocate boundary binary options strategy to leverage yields, use upper strikes at 1.4162 and lower strikes at 1.4026 levels.

Currency Strength Index: FxWirePro's hourly GBP spot index is inching towards -95 levels (which is bearish). Hourly USD spot index was at shy above -84 (bearish) while articulating (at 11:28 GMT).

For more details on the index, please refer below weblink:

http://www.fxwirepro.com/currencyindex

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