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GBP/USD Forex Signal- July 17, 2014

By Adam Lemon

Adam Lemon began his role at DailyForex in 2013 when he was brought in as an in-house Chief Analyst. Adam trades Forex, stocks and other instruments in his own account. Adam believes that it is very possible for retail traders/investors to secure a positive return over time provided they limit their risks, follow trends, and persevere through short-term losing streaks – provided only reputable brokerages are used. He has previously worked within financial markets over a 12-year period, including 6 years with Merrill Lynch.

GBP/USD Signal Update

Yesterday's signal was not triggered and expired.

Today’s GBP/USD Signals

Risk 0.75%.

Entry must be made between 8am and 5pm London time today.

Long Trade 1

Go long at the first touch of 1.7050.

Place a stop loss at 1.6990.

Move the stop loss to break even when the price reaches 1.7125.

Take off 75% of the position as profit at 1.7125 and leave the remainder of the position to run.

GBP/USD Analysis

Yesterday was an extremely quiet day with a very narrow range, totalling less than 40 pips. Surprisingly, such narrow range days have not been that uncommon recently, as this pair tends to be very news-driven lately.

 

The dull action means that there is little new to analyse. Perhaps all we can take away from this is a hint that the price does not want to move up any further yet. I think we will see another return to the 1.7050 before we go much further up. What could make this really interesting is that the 1.7050 area is becoming confluent with a very long-term bullish trend line, so if when the price returns there the confluence is present, that should make for a good high-probability long trade.

GBPUSD 71714

There are no high-impact data releases due today concerning the GBP, although there are concerning the USD which might well have some impact upon this pair. At 1:30pm London time London time there will be a release of US Building Permits and Unemployment Claims data followed later by the Philly Fed Manufacturing Index at 3pm. It is likely to be quiet before the New York session begins.

Adam Lemon
About Adam Lemon

Adam Lemon began his role at DailyForex in 2013 when he was brought in as an in-house Chief Analyst. Adam trades Forex, stocks and other instruments in his own account. Adam believes that it is very possible for retail traders/investors to secure a positive return over time provided they limit their risks, follow trends, and persevere through short-term losing streaks – provided only reputable brokerages are used. He has previously worked within financial markets over a 12-year period, including 6 years with Merrill Lynch.

 

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