GBP/USD Signals Update
Yesterday’s signals might have produced a profitable short trade as the price fell from the resistance outlined at 1.5673. It would probably be advisable to take most of the profit on any open trade from there by now.
Today’s GBP/USD Signals
Risk 0.75% per trade.
Trades may only be taken before 5pm London time today.
Short Trade 1
• Short entry following a bearish price action reversal on the H1 time frame immediately upon the next touch of 1.5673.
• 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 1.5605 and leave the remainder of the position to ride.
Long Trade 1
• Long entry following a bearish price action reversal on the H1 time frame immediately upon the next touch of 1.5537.
• Place the stop loss 1 pip below the local swing low.
• 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 1.5575 and leave the remainder of the position to ride.
Long Trade 2
• Long entry following a bearish price action reversal on the H1 time frame immediately upon the next touch of 1.5464.
• Place the stop loss 1 pip below the local swing low.
• 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 1.5525 and leave the remainder of the position to ride.
GBP/USD Analysis
Yesterday’s forecast worked out well as despite the relatively strong bullishness this pair exhibited throughout most of the London session and in spite of seeming to break out past the resistance at 1.5673, the pair actually peaked just a few pips beyond that before falling very rapidly in the lead up to the FOMC release. A short trade taken from the 1.5673 area could have been nicely profitable. All the levels remain the same, I just extend the resistance above to form a zone between 1.5673 and 1.5689.
There is nothing due today regarding the GBP. Regarding the USD, there will be a release of Advance GDP, Goods Trade Balance and Unemployment Claims data at 1:30pm London time.