GBP/USD Signals Update
Yesterday’s signals expired without being triggered as the support level at 1.4950 did not hold strongly enough to produce bullish price action.
Today’s GBP/USD Signals
Risk 0.75% per trade.
Trades may only be entered between 8am and 5pm London time.
Short Trade 1
Short entry following a bearish price action reversal on the H1 time frame immediately upon the first test of the broken bullish trend line currently sitting at around 1.5150.
Place the stop loss 1 pip above the local swing high.
Adjust the stop loss to break even once the trade is 25 pips in profit.
Take off 50% of the position as profit when the trade is 25 pips in profit and leave the remainder of the position to ride.
Short Trade 2
Short entry following a bearish price action reversal on the H1 time frame immediately upon the first test of 1.5200.
Place the stop loss 1 pip above the local swing high.
Adjust the stop loss to break even once the trade is 25 pips in profit.
Take off 50% of the position as profit when the trade is 25 pips in profit and leave the remainder of the position to ride.
Long Trade 1
Long entry following a bullish price action reversal on the H1 time frame immediately upon the first test of 1.4876.
Place the stop loss 1 pip below the local swing low.
Adjust 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
Yesterday saw another very sharp rise in the USD, pushing this pair all the way down to 1.4900 where it found some support. During the last few hours the USD has been falling even more sharply across the board. It remains to be seen whether this is a very significant reversal but it could be that a long-term bottom has been found on this pair, if GBP’s relative strength will resume.
There are high-impact events scheduled today concerning both the USD and the GBP. Regarding the USD, at 12:30pm London time there will be releases of Retail Sales and Unemployment Claims data. Later at 12:45pm the Governor of the Bank of England will be speaking.