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EUR/GBP Is Showing Long-Term Bullish Consolidation on Weekly

The euro is in an uptrend against the British pound since July 2015. However, the trend is stalling in a triangle-like consolidation since October 2016. The current form of the pattern lets traders conclude in favor of its validity. It can now be used as a breakout trade setup.

You can see the triangle delimited with the yellow lines on the chart screenshot below. The horizontal cyan line shows the breakout entry point; it is placed at 10% of the triangle’s base width above the upper border. The horizontal cyan line shows my potential target level; it uses 100% of the same distance. I will place my stop-loss order at the low of the breakout candle unless it trades mostly outside the pattern — then I will use the low of the previous candle. I will cancel the setup in case of a bearish breakout. You can see a full-size chart by clicking on the image:

EUR/GBP - Ascending Triangle Pattern on Weekly Chart as of 2017-11-12

I have built this chart using the ChannelPattern script. You can download my MetaTrader 4 chart template for this EUR/GBP pattern. You can trade it using my free Chart Pattern Helper EA.

If you have any questions or comments regarding this ascending triangle on the EUR/GBP chart, please feel free to submit them via the form below.

Posted on Forex blog. Click Here For Original Source Of The Article

About Louie Lewis

Louie Lewis
Successful forex trading starts with you first. Then comes the actual strategies and techniques. I have been involved with forex and forex trading for a few years now. It is a wonderful way to build wealth. The learning never stops and I want to help others along their journey into this wonderful market of opportunity.

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