GBP/USD Signals Update
Last Thursday’s signals produced a spectacularly profitable long trade towards the London Close when a bullish pin bar on the H1 chart rejected the identified support levels at 1.4017 and 1.4056. It would be wise to take some profit off the table, although if you feel Britain will vote to Remain within the E.U. this pair could close the week near 1.6000.
Today’s GBP/USD Signals
Risk 0.75% per trade.
Trades may only be entered before 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 1.4221.
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 25 pips in profit and leave the remainder of the position to ride.
Short Trades
Go short following a bearish price action reversal on the H1 time frame immediately upon the next touch of 1.4648 or 1.4799.
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 25 pips in profit and leave the remainder of the position to ride.
GBP/USD Analysis
This pair has recovered dramatically ever since a key low near 1.4000 was hit last Thursday. Since then, the politically motivated murder of a pro-Remain British MP followed by a temporary suspension of campaigning seems to have handed the momentum back to the Remain campaign. Bookmakers are favouring Remain to prevail and a new opinion poll shows Remain narrowly in the lead.
These factors have caused this pair to gap up strongly, although in the absence of new information it has probably already made its high for today as it has approached key resistance. Note how within this large 400 pips area the price can move easily as there are no key levels before 1.4221.
There is nothing due today concerning either the GBP or the USD.