For the readers’ benefit:

Price action confirmation: Simplymeans traders will likely wait for price action to confirm a level by consuming an opposing supply or demand area, then entering a trade on a possible retracement, this may occur on the lower timeframes also.

Pending orders: means pending orders are likely seen.

EUR/USD:

4hr TF.       

The higher-timeframe picture resembles the following:

  • Weekly TF: A break below the weekly demand area at 1.32940-1.34847 recently happened, and at the time of writing price has nearly touched the weekly demand area below at 1.31037-1.32262.
  • Daily TF: Price still remains trading between the daily S/R flip level at 1.33559, and the daily demand area below at 1.31037-1.31755. To the left of current price action, we see very little that will likely cause a problem to price from dropping deeper into the weekly demand (levels above) towards the aforementioned daily demand area.

On the 4hr timeframe, the 4hr decision-point level at 1.32758 (now resistance) did indeed encounter a retest, however there appears to be a lack of selling interest around this level since a push up to a minor 4hr supply area at around 1.32890 which could in actual fact be a fakeout of the aforementioned 4hr decision-point level to stop out as many traders as possible for a possible push south. In any case, we should be prepared for a push up to the round number 1.33 today sometime.

When, or indeed if a decline in value in value is seen, there’s very little to the left that will likely cause any problems to the sellers all the way down to the 4hr demand area at 1.31559-1.31879 (located within weekly demand at 1.31037-1.32262, and around the daily demand area at 1.31037-1.31755). The round number 1.32 just above this level will likely see a deep spike through it into the aforementioned 4hr demand area, this will likely give pro money the liquidity they require for a further push up. However, if there is not enough liquidity around this round number level, or the 4hr demand area, a further push down to an even more attractive 4hr demand area at 1.31037-1.31278 (again located within the aforementioned higher-timeframe demand areas).

Pending orders/P.A confirmation levels:

  • No pending buy orders (Green line) are seen in the current market environment.
  • No P.A confirmation buy levels (Red line) are seen in the current market environment.
  • No pending sell orders (Green line) are seen in the current market environment.
  • The P.A confirmation sell level (Red line) set just below the 4hr decision-point level (1.32758) at 1.32731 is now active. For this level to be confirmed, the sellers will need to consume some or most of the buyers around the low marked with an arrow at 1.32409, we will then consider setting a pending sell order
  • The P.A confirmation sell levels (Red line) are seen just below the round number 1.33 at 1.32973. The reason for not placing a pending sell order here is simply because price could ignore this level and trade on up to the 4hr D/S flip area above at 1.33360-1.33619.
  • The P.A confirmation sell levels (Red line) are seen just below the 4hr D/S flip area (1.33360-1.33619) at 1.33322. The reasoning behind setting a P.A confirmation sell level here and not a pending sell order is because we have no logical area for a stop-loss order meaning price could push straight through this area.

EURUSD 4HR

Quick Recap:

The 4hr decision-point level at 1.32758 is appearing weak at the moment (P.A confirmation sell level set just below at 1.32740) as a small spike up to a minor 4hr supply area around the 1.32890 level was seen, so do keep an eye on the round number 1.33 above as this is the next area of interest that may have active sell orders. If we do see a significant decline in value today, there’s very little stopping price from likely reaching the 4hr demand area at 1.31559-1.31879 (located within weekly demand at 1.31037-1.32262 and around the daily demand area at 1.31037-1.31755).

  • Areas to watch for buy orders: P.O: No pending buy orders are seen in the current market environment P.A.C: No P.A confirmation buy levels are seen in the current market environment.
  • Areas to watch for sell orders: P.O: No pending sell orders are seen in the current market environment. P.A.C: 1.32731 (Active-awaiting confirmation) (SL: Dependent on price action after the level has been confirmed TP: Dependent on approaching price action after the level has been confirmed). 1.32973 (SL: Dependent on price action after the level has been confirmed TP: Dependent on approaching price action after the level has been confirmed) 1.33322 (SL: Dependent on price action after the level has been confirmed TP: Dependent on approaching price action after the level has been confirmed).

 

GBP/USD:

4hr TF.       

The higher-timeframe picture resembles the following:

  • Weekly TF: The next weekly demand area at 1.64589-1.66339 has been hit, price now remains capped between this area and a weekly D/S flip area above at 1.66917-1.67939.
  • Daily TF: Price is seen trading quite deep within daily demand at 1.65492-1.66044 and at the time of writing very little buying interest has been shown.

The reaction around the 4hr demand area at 1.65492-1.65809 does not look in good shape at all! A small bullish reaction was seen up to the round number 1.66, but was quickly pushed back down by the sellers into the 4hr demand area.

We still do expect a rally higher from this 4hr demand area  due to where it is located on the on the higher timeframes (Daily demand at 1.65492-1.66044, Weekly demand at 1.64589-1.66339). The first trouble area we see, if price can overcome the round number 1.66 first of course, is the minor 4hr S/R flip level at 1.66563.

However, preparing for any outcome in the market is always a good thing! So, if we do indeed see a push below the aforementioned 4hr demand area, the path south is very likely free down to at least the 4hr decision-point level at 1.64895 which is located very deep both within both the weekly and daily demand areas mentioned above.

Pending orders/P.A confirmation levels:

  • The pending buy order (Green line) are set just above 4hr demand (1.65492-1.65809) at 1.65878 is now active, so do keep an eye on our first take-profit level set at 1.66563.
  • No P.A confirmation buy levels (Red line) are seen in the current market environment.
  • Pending sell orders (Green line) are seen just below the 4hr D/S flip area (1.67389-1.67561) at 1.67327. We have set a pending sell order here because (which was a requirement at the time) the sellers proved this area by consuming the low below at 1.66757.
  • No P.A confirmation sell levels (Red line) are seen in the current market environment.

GBPUSD 4HR

Quick Recap:

Our pending buy order set just above the 4hr demand area (1.65492-1.65809) at 1.65878 has been filled. We very much expect a bullish reaction here up to at least the 4hr S/R flip level at 1.66563. However, if we do indeed see a push below the aforementioned 4hr demand area, the path is very likely free down to at least the 4hr decision-point level at 1.64895 which is located very deep both within both the weekly and daily demand areas mentioned above.

  • Areas to watch for buy orders: P.O: 1.65878 (Active) SL: 1.65357 TP: [1] 1.66568 [New targets may be added depending on price development]).  P.A.C: No P.A confirmation buy levels are seen in the current market environment.
  • Areas to watch for sell orders: P.O: 1.67327 (SL: 1.67621 TP: Dependent on how price approaches) P.A.C: No P.A confirmation sell levels are seen in the current market environment.

 

EUR/GBP:

4hr TF        

The higher-timeframe picture resembles the following:

  • Weekly TF: A small spike above the weekly decision-point area has been seen at 0.80328-0.79780, this spike above has likely cleared some of the sellers out indicating the path north to around weekly supply above at 0.81397-0.80805 is relatively free.
  • Daily TF: A spike (0.80351) above daily supply at 0.80328-0.80024 has been seen, this spike has likely stopped out a lot of sellers attempting to fade the area. With these sellers consumed, price is very likely free to move up to the next area of interest around the daily S/R flip level at 0.80809. However, before this happens, do be prepared for decline in value back down to daily demand at 0.78862-0.79206 at least, since pro money may not have the required liquidity (sell orders for their buys) for a push further up just yet.

A rally higher has been seen from the 4hr demand area at 0.79792-0.79689 up to the round number 0.8, where the sellers have begun to show some interest.

Other than the above, not much has changed on this pair, and as a result much of the last analysis still remains valid and well-worth remembering:

With the daily timeframe suggesting prices may decline further before a rally higher is seen, we have to be prepared for a break below the aforementioned 4hr S/D flip area, which will likely push price down to around the 4hr demand level at 0.79189, where history has proven this to be a valid level to buy off of. However, the same still stands as the last analysis, only with a different high, if we see a rally higher from here, and we see a break above the high 0.80266 marked with a red circle, then there’s very little stopping price from hitting the 4hr supply area at 0.80619-0.80409. Here’s why, The wick/high seen at 0.80351 marked with a green arrow likely cleared most of the remaining sellers around the supply area marked with a black circle at 0.80309, meaning there is very little to stop price hitting the aforementioned 4hr supply area, where we currently have a pending sell order ready and waiting at 0.80387.

Pending/P.A confirmation levels:

  • No pending buy orders (Green line) are seen in the current market environment.
  • P.A confirmation buy levels (Red line) are seen just above a 4hr demand level (0.79189) at 0.79215. The reason for setting a P.A confirmation buy level, and not a pending buy order is simply because this level has seen a touch already indicating some of the buyers may have been consumed, thus weakening this area, hence the need for confirmation on this one.
  • Pending sell orders (Green line) are seen just below 4hr supply (0.80619-0.80409) at 0.80387. The reasoning for placing a pending sell order here is simply because the momentum from the supply base was very good, and this area remains fresh.
  • No P.A confirmation sell levels (Red line) are seen in the current market environment.

EURGBP 4HR

Quick Recap:

Price is currently seen trading between a 4hr S/D flip area at 0.79792-0.79689 and the round number 0.8, a break below here could force prices all the way down to a 4hr demand level at 0.79189, where we have a P.A confirmation buy level set just above at 0.79215. Nonetheless, if the buyers decide to push higher from here above the round number, we will be looking for a break above the high marked with a red circle at 0.80266, as this will be likely all the buyers need for a full push up to 4hr supply above at 0.80619-0.80409, where we have a pending sell order ready and waiting just below at 0.80387.

  • Areas to watch for buy orders: P.O: No pending buy orders are seen in the current market environment.P.A.C: 0.79215 (SL: Dependent on price action after the level has been confirmed TP: Dependent on approaching price action after the level has been confirmed).
  • Areas to watch for sell orders: P.O: 0.80387 (SL: 0.80648 TP: Dependent on how price approaches) P.A.C: No P.A confirmation sell levels are seen in the current market environment.