Top Trade Idea For December 11th, 2014 – EURGBP
Against all odds as it may seem, I am really bullish the Euro as a whole and eurgbp in particular even after today’s TLTRO’s in Europe were released.
The fundamental picture doesn’t look pretty for the euro but, despite that, technical picture is quite bullish.
The cross here has been falling in a beautiful waterfall effect in a corrective fashion and by the time the downside target has been reached (see the blue shape in the chart above) market formed a beautiful contracting triangle that I dare to say it is completed.
Like any triangle, it travels within the a-c and b-d trend lines and it should be attracted now by the b-d one and should break it. This would trigger a bit of a consolidation above it, but more important is the fact that it opens the gates towards the beginning of the second correction, and this means 0.8167, our target.
A move below 0.7830 should invalidate the whole scenario.
About Mircea Vasiu
Mircea Vasiu has an MBA in International Business from an American University, graduating Magna Cum Laudae. He has been a professional trader for the last 8 years and is involved in various educational projects for different financial companies. He also runs a trading signal for the currency markets at www.capitalpropertiesfx.com.