GBP/USD Signals Update
Last Thursday’s signals were not triggered although the low of the day was made just 5 pips above the anticipated support level of 1.4052.
Today’s GBP/USD Signals
Risk 0.75% per trade.
Trades may only be entered from 8am New York time until 5pm London time today.
Long Trade 1
Go long following a bullish price action reversal on the H1 time frame immediately upon the next touch of 1.4052.
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.
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.
Short Trade 1
Go short following a bearish price action reversal on the H1 time frame immediately upon the next entry into the zone between 1.4200 and 1.4225.
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.
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
It looks as if we made a double bottom last Thursday just above the support level of 1.4152. The price has been heading upwards since there and will face its first test at 1.4200.
Although the long-term downwards trend is still technically in force, it is getting weaker and less predictable. The last time the price bounced off 1.4150, it rose quite rapidly by more than 400 pips, which should be encouraging to anyone who is long of this pair right now.
There is nothing due today concerning either the EUR or the USD. It is a public holiday in Europe.