GBP/USD Signals Update
Yesterday’s signals were not triggered as the price did not touch 1.4878 until the end of the London session which was too late to enter a new trade.
Today’s GBP/USD Signals
Risk 0.75% per trade.
Trades must be made before 5pm London time today only.
Short Trade 1
* Short entry following a bearish price action reversal on the H1 time frame immediately upon the next touch of 1.5000.
* Put 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.
* Remove 50% of the position as profit when the price reaches 25 pips in profit and leave the remainder of the position to run.
Short Trade 2
* Short entry following a bearish price action reversal on the H1 time frame immediately upon the next touch of 1.5050.
* Put 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.
* Remove 50% of the position as profit when the price reaches 25 pips in profit and leave the remainder of the position to run.
Long Trade 1
* Long entry following a bullish price action reversal on the H1 time frame immediately upon the next touch of 1.4878, once the price has broken above 1.4925.
* Put 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.
* Remove 50% of the position as profit when the price reaches 25 pips in profit and leave the remainder of the position to run.
Long Trade 2
* Long entry following a bullish price action reversal on the H1 time frame immediately upon the next touch of 1.4802.
* Put 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.
* Remove 50% of the position as profit when the price reaches 25 pips in profit and leave the remainder of the position to run.
GBP/USD Analysis
The price is still sitting on the support at around 1.4878, as it has been doing since Thursday. A descending short-term trend line can now be drawn above to form a triangle. Usually a bullish break would seem more likely but as we have been sitting on this level for a while and as the long-term
trend is bearish, I think a bearish breakdown is more likely. For this reason I would want to see the price at least as high as 1.4925 falling another rejection of 1.4878 before going long. Unless there was a further fall to the next supportive level at 1.4802, of course.
There are resistance levels at the half and round numbers above starting at 1.5000. There is also probably minor resistance at around 1.4960.
There is nothing due today concerning the GBP. Regarding the USD, there will be a release of Final GDP data at 1:30pm London time.