GBP/USD Signals Update
Last Thursday’s signals produced a short signal off 1.5711 which unfortunately would have been a losing trade.
Today’s GBP/USD Signals
Risk 0.75% per trade.
Trades must be made before 5pm London time only.
Long Trade 1
Go long following a bullish price action reversal on the H1 time frame immediately upon the next touch of 1.5653.
Put the stop loss 1 pip below the local swing low.
Adjust the stop loss to break even once the trade is 25 pips in profit.
Remove 50% of the position as profit when the price reaches 1.5700 and leave the remainder of the position to run.
Short Trade 1
Go short following a bearish price action reversal on the H1 time frame immediately upon the next touch of 1.5803.
Put 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.
Remove 50% of the position as profit when the price reaches 1.5765 and leave the remainder of the position to run.
Short Trade 2
Go short following a bearish price action reversal on the H1 time frame immediately upon the next touch of the bearish trend line currently sitting at around 1.5835.
Place the stop loss 1 pip above the local swing high.
Move the stop loss to break even once the trade is 25 pips in profit.
Take off 50% of the position as profit when the price reaches 1.5765 and leave the remainder of the position to run.
Short Trade 1
Go short following a bearish price action reversal on the H1 time frame immediately upon the next touch of 1.5850.
Put 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.
Remove 50% of the position as profit when the price reaches 1.5765 and leave the remainder of the position to run.
GBP/USD Analysis
The Euro crisis has threatened to impact the GBP – the two currencies usually are highly positively correlated – but the GBP seems to be holding up quite well and is showing signs of restrained bullishness. There is a key support level not far below that could give a good long opportunity, but a strong break below that could see a sharp fall.
There is plenty of resistance above 1.5803 up to another 50 pips beyond that level.
There are no high-impact events scheduled today for either the GBP or the USD.