GBP/USD Signal Update
Yesterday’s signals were not triggered and expired.
Today’s GBP/USD Signals
Risk 0.50%.
Entry should be made between 8am and 5pm London time today only.
Long Trade 1
Enter long with a buy limit order at the first touch of 1.6235.
Stop loss at 1.6195.
Move the stop loss to break even when the trade is 25 pips in profit and leave the position to run.
Short Trade 1
Enter short with a sell limit order at the first touch of 1.6619.
Stop loss at 1.6660.
Move the stop loss to break even when the trade is 40 pips in profit and leave the position to run.
GBP/USD Analysis
Yesterday was fairly quiet but the price has held fairly firm in a moderately bullish way after breaking up through local resistance and the upper triangle trend line at around 1.6450.
It appears that we are poised for a further move up, but I do not see really reliable support or resistance anywhere close by. It could be that 1.6450 will now act as support, or alternatively a retest of the broken upper triangle trend line below might be supportive. There may well be resistance at the key psychological level above of 1.6500, which acted as resistance earlier this month. Beyond that level, there is also 1.6590 which was previously resistant and is today confluent with the daily R3 pivot point.
There is strong support some way below at 1.6235 and strong resistance overhead at 1.6619. These levels are unlikely to come into play today, but if they do, I see touch trades there.
There is no important news due today for the USD. However there are World Economic Forum meetings that might produce an event that could move this pair. There is also important GBP news due at 9:30am London time that could affect the pair (Unemployment Rate, MPC Rate and Asset Purchase Facility Votes).