GBP/USD Signals Update
Yesterday’s signals were not triggered and expired.
Today’s GBP/USD Signals
Risk 0.75% per trade.
Trades may only be taken between 8am and 5pm London time today.
Long Trade 1
* Go long if the price at 9am London time is above 1.5205.
* Place 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.
* 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 2
* Go long following a bullish price action reversal on the H1 time frame immediately upon the next touch of 1.5133.
* Place 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.
* 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 1
* Go short following a bearish price action reversal on the H1 time frame immediately upon the next touch of 1.5248.
* 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 price reaches 25 pips in profit and leave the remainder of the position to ride.
GBP/USD Analysis
This pair fell yesterday in line with the strengthening of the USD, but note how the GBP was one of the more resilient currencies, with the price falling much less than other USD pairs such as EUR, CHF and JPY.
In fact the nearest support was a little ambiguous and if you just move it down a few pips to 1.5172 where it now seems to sit, it can be said to have held during the Asian session. The first hour of the London session is usually crucial for this pair, and if that hour pushes the price up above the minor resistance at 1.5200, we are likely to have an upwards move, although of course we have news for both sides of this pair later so anything could happen.
Regarding the GBP, there will be a release of CPI data at 9:30am London time. Concerning the USD, there will be a release of CPI data at 1:30pm.