Day trade
Trade view / 11 January 2017 at 6:52 GMT

EURGBP: bearish inverted Hammer points lower

Partner at 3 C ANALYSIS / 3cAnalysis
United Kingdom
Instrument: EURGBP
Price target: 0.8635
Market price: 0.8681

Tuesday’s positive forecast was proved correct yesterday as the market built upon the previous day’s strong gains. Bought to higher levels for a fifth day in a row, EURGBP traded to the most positive prices for nine weeks. 

But the highs were powerfully rejected and profit-taking developed at overbought extremes and outside the top of the daily Keltner channel. The result was a bearish inverted Hammer pattern that points to lower levels, temporarily.

Management and risk description

A move below 0.8657 means the stop can be lowered to break-even.


Entry: sell in 0.8685/90 area and 0.8698.

Stop: 0.8729 bid.

Target: 0.8657 and 0.8635.

Time horizon: intraday, ends 4pm London time.

Bearish inverted hammer
Bearish Hammer
Highs rejected
Highs Rejected
Long term
Long Term
 Source: all charts CQG. Create your own charts with SaxoTrader; click here to learn more 

– Edited by Gayle Bryant

For more on forex click here

Non-independent investment research disclaimer applies. Read more
AlanCollins AlanCollins
after triggering the upper sell level prices have dropped 25 pips. Momentum weaker than expcted so suggest reducing prices near .8674 level with stop now at .8702
yakcay yakcay
Are the target levels still the same?
AlanCollins AlanCollins
yes but momentum is weak so would be inclined to keep only a small balance below 57 with a stop, if that level is met, lowered to 82
vik7795 vik7795
hit 57/ thanks
Norberto Norberto
Hi Alan, coming back to the current USDCHF Call. Is this trade still in place cause timeframe is this week? Thanks in advance!
AlanCollins AlanCollins
yes - still valid Norberto though given how late in the week we are getting I would keep size limited
Norberto Norberto
OK Alan tks!


The Saxo Bank Group entities each provide execution-only service and access to permitting a person to view and/or use content available on or via the website is not intended to and does not change or expand on this. Such access and use are at all times subject to (i) The Terms of Use; (ii) Full Disclaimer; (iii) The Risk Warning; (iv) the Rules of Engagement and (v) Notices applying to and/or its content in addition (where relevant) to the terms governing the use of hyperlinks on the website of a member of the Saxo Bank Group by which access to is gained. Such content is therefore provided as no more than information. In particular no advice is intended to be provided or to be relied on as provided nor endorsed by any Saxo Bank Group entity; nor is it to be construed as solicitation or an incentive provided to subscribe for or sell or purchase any financial instrument. All trading or investments you make must be pursuant to your own unprompted and informed self-directed decision. As such no Saxo Bank Group entity will have or be liable for any losses that you may sustain as a result of any investment decision made in reliance on information which is available on or as a result of the use of the Orders given and trades effected are deemed intended to be given or effected for the account of the customer with the Saxo Bank Group entity operating in the jurisdiction in which the customer resides and/or with whom the customer opened and maintains his/her trading account. When trading through your contracting Saxo Bank Group entity will be the counterparty to any trading entered into by you. does not contain (and should not be construed as containing) financial, investment, tax or trading advice or advice of any sort offered, recommended or endorsed by Saxo Bank Group and should not be construed as a record of ourtrading prices, or as an offer, incentive or solicitation for the subscription, sale or purchase in any financial instrument. To the extent that any content is construed as investment research, you must note and accept that the content was not intended to and has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such, would be considered as a marketing communication under relevant laws. Please read our disclaimers:
- Notification on Non-Independent Invetment Research
- Full disclaimer
- 沪ICP备13028953号-1

Check your inbox for a mail from us to fully activate your profile. No mail? Have us re-send your verification mail