Dear traders,

The last time I shared my thoughts on the NASDAQ, the index went on to surge over 3,500 points.

In the past month alone, it has delivered gains of over 20% – a return that, by any historical measure, is nothing short of extraordinary. Markets like this don’t come around often, and those who were positioned correctly have been well rewarded.

As many of you know, I was actively looking to enter long trades – and we did exactly that, executing several long NAS positions in the trading room. The results speak for themselves.

So, is the move running out of steam?

Possibly. And that matters more than most people think.

Will I be chasing price higher at these levels? No – not necessarily. I never buy into extended moves just for the sake of staying in the game. Extended price action, no matter how bullish the narrative, is rarely a favourable entry point.

The smarter play, as always, is to wait for a retracement.

If price pulls back to the 26,000 level, I’ll be reassessing. That’s where the opportunity could become interesting again. Until then, patience is the position.

But today, I’m watching something else entirely.

A different setup has caught my eye – one that I think deserves your attention right now.

What is it?

GBPUSD Trading Analysis

Today, I’m watching GBP/USD.

And here’s why it has my attention.

The pair has arrived at what I’d describe as a genuine crossroads – a technical juncture where the next significant move could go either way. Bullish breakout or bearish breakdown. Both are on the table, and right now, the chart isn’t giving us a definitive answer.

That’s actually the point. This is not a trade yet. It’s a setup worth watching.

So how do we decide direction?

We let the price tell us.

There is a minor demand zone in play. I’m not going to force anything here – instead, I’ll be waiting patiently to see whether price comes back to re-test it. If and when it does, what matters most is how it behaves at that level.

A candle doesn’t lie. The reaction at the zone will tell us everything we need to know.

  • If we see a bullish confirmation – an inverted pin bar or a bullish engulfing candle – I’ll be considering a long position.
  • If price rejects the zone and we get a pin bar or bearish engulfing below it, I’ll be looking at the short side.

No confirmation, no trade. It really is that simple.

For now, I’m watching. Quietly. Patiently.

This is where most traders go wrong – they feel the need to act, to be in a trade, to do something. But the edge isn’t in the entry. It’s in the waiting.

Markets reward patience. And this setup, if it delivers, could be well worth the wait.

I’ll keep you posted.

Happy Trading,

Colibri Trader