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GBP/USD Forex Signal- August 11, 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

Last Thursday’s signals were not triggered as the price did not reach either 1.6808 or 1.6890 during Thursday’s London session.

Today’s GBP/USD Signals

Risk 0.75%.

Entries may be made only between 8am and 5pm London time today.

Long Trade

Go long at the first touch of 1.6684.

Place a stop loss at 1.6644.

Move the stop loss to break even when the price reaches 1.6790.

Take off 75% of the position as profit at 1.6790 and leave the remainder of the position to run.

Short Trade

Go short following bearish price action on the H1 time frame following the first touch of 1.6684.

Place a stop loss one pip above the swing high.

Move the stop loss to break even when the price reaches 1.6700.

Take off 75% of the position as profit at 1.6700 and leave the remainder of the position to run.

GBP/USD Analysis

The final two days of this week saw the fairly steep downwards trend continue. The major bearish trend line has not even been tested in recent days. The support level at 1.6808 was broken down quite easily and can now be expected turn into resistance, providing a short opportunity if retested with bearish price action. There are no obvious support levels below the current price until 1.6684 is reached.

GBPUSD 81114

There are no high-impact data releases due today concerning either the GBP or the USD. Therefore it is likely to be a very quiet day today for this pair.

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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