GBP/USD Signals Update
Yesterday’s signals were not triggered and expired as the key levels were not hit during yesterday's London session as required.
Today’s GBP/USD Signals
Risk 0.75% per trade.
Trades may be made only between 8am and 5pm London time today.
Long Trade 1
Go long after bullish price action on the H1 time frame immediately following the next touch of 1.5482.
Place the stop loss 1 pip below the local swing low.
Move the stop loss to break even once the trade is 30 pips in profit.
Take off 50% of the position as profit when the trade is 30 pips in profit and leave the remainder of the position to ride.
Long Trade 2
Go long after bullish price action on the H1 time frame immediately following the next touch of the nearest bullish trend line at around 1.5388.
Place the stop loss 1 pip below the local swing low.
Move the stop loss to break even once the trade is 30 pips in profit.
Take off 50% of the position as profit when the trade is 30 pips in profit and leave the remainder of the position to ride.
GBP/USD Analysis
This pair continues to be bullish, and has managed to fully break above previously strong resistance at 1.5482. I forecast yesterday that the next key resistant hurdle would be 1.5550, and I was looking for a short there if the price reversed off that level during yesterday;s London session. However this level was actually hit very early this morning, so there is some likelihood that today is going to be a down day. It could be possible to go short off a convincing reversal if the level is reached again after the first round of news this morning, but it is a little risky as the level has already been hit.
If the price does go down today, look for support at 1.5482 which may now be flipped to support, although it was not broken very cleanly. Below that, the lower channel trend line at around 1.5388 should be reliable.
There are high-impact events scheduled for both the GBP and the USD today. Concerning the GBP, at 9:30am London time there will be a release of the Second Quarterly U.K. GDP Estimate. Regarding the USD, later at 1:30pm there will be a release of U.S. CPI and Unemployment Claims data. Therefore it is likely to be a fairly active day for this pair.