GBP/USD Signals Update
Yesterday’s signals were not triggered.
Today’s GBP/USD Signals
Risk 0.75% per trade.
Trades may only be entered before 5pm London time today.
Long Trades
No long trades.
Short Trades
Short entry following a bearish price action reversal on the H1 time frame immediately upon the next touch of 1.3000 and 1.3050.
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
Late in the Asian session, this pair was down by 3% over the previous 24 hours. This is a very sharp fall to happen so quickly. The psychological level of 1.3000 has been broken. There are now levels where we can now expect some resistance, at 1.3000 and 1.3050.
The British Pound is in trouble due to the Brexit vote and there is no reason why it will not have further to fall. There is a chance the Brexit might not happen, which means every time there is a political development that makes the U.K.’s eventual departure more likely, we can expect the GBP to fall again.
The governing Conservative Party is choosing a new Prime Minister. The favourite to win actually was a Remain supporter, so it cannot be said this would be driving the Pound down.
While the swings and pullbacks might become very volatile, it would be wise to keep a short only focus here.
There is nothing due concerning the GBP. Regarding the USD, there will be a release of ISM Non-Manufacturing PMI data at 3pm London time followed by the FOMC Meeting Minutes at 7pm.