GBP/USD Signals Update
Last Wednesday’s signals expired without being triggered as the price did not reach 1.6168 during the London session that day.
Today’s GBP/USD Signals
Risk 0.75%
Entries only between 8am and 5pm London time.
Long Trade
Long entry following bullish price action on the H1 time frame after a first touch of 1.5900.
Put the stop loss 1 pip below the local swing low.
Move the stop loss to break even when the trade is 25 pips in profit.
Remove 50% of the position as profit when the trade is 25 pips in profit and leave the remainder of the position to run ensuring there is no risk left in the trade.
GBP/USD Analysis
During the second half of last week the USD initially continued its pullback, and the GBP rallied somewhat, until we reached the high of 1.6225 before falling again. However we have been rising since the weekly open earlier today.
It is quite likely that this pair will chop around for a while if its downtrend does not resume. Note that we have had a few pauses for several days in this downtrend over recent months, so it is too early to assume anything. This pair looks a little more bearish than EUR/USD; however it is notable that this morning we seem to be breaking above 1.6105 which had earlier looked like key resistance, although it is too early to say if we have really broken past this. If we manage to rise much above this level during the early part of today’s London session, that would be a bullish sign.
There are no high-impact data releases concerning either the GBP or the USD scheduled for today’s London session. It is a public holiday in the U.S.A. today. For these reasons it is likely to be a very quiet day today for this pair.