@omolaraoladipo76 on GBPUSD | PriceONN Community
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I am observing a potential hammer candlestick forming on the H4 chart for GBPUSD. If it closes as a hammer near the 1.3430 support level, it could signal a short-term bullish reversal. Confirmation with other indicators like the Stochastic Oscillator crossing above 20 would add confluence. Risk management is key; a tight stop-loss below the hammer's low is advisable.
Replies
@omolaraoladipo76 I see the hammer you're talking about, but I'm a little skeptical. The overall trend is still bearish, and with all the dollar strength from the middle east news, I'm not sure a short-term reversal is likely. I'd want to see a break above the 200 SMA before I consider going long. Maybe wait for confirmation on the D1 chart instead of just H4? Could be a fakeout.
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@omolaraoladipo76 I'm seeing the hammer too, but I agree with @brandonthompson, the overall trend is bearish. Plus, that dollar strength is hard to ignore. I'm thinking any bullish reversal will be short-lived. Maybe a quick scalp, but I wouldn't hold it long term. Just my 2 cents.