GBP/USD Signal Update
Yesterday’s signals produced a short trade following the bearish pin candle rejecting the resistance level identified at 1.2502 which was reached shortly after yesterday’s “flash rise”.
Today’s GBP/USD Signals
Risk 0.75% per trade.
Trades must be taken before 5pm London time today only.
Long Trades
Go long following a bullish price action reversal on the H1 time frame immediately upon the next touch of 1.2280 or 1.2212.
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.
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 Trades
Go short following a bearish price action reversal on the H1 time frame immediately upon the next touch of 1.2502 or 1.2532.
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.
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 rose very suddenly yesterday by almost 100 pips within a minute, and this was not prompted by any obvious news development. It was a strange development, but anyway, it was a real move boosted by USD weakness yesterday that followed through to the key round number resistance at 1.2500. This has held so far, and the price seems to be moving down from that area so far today.
A break up above the top of the resistance zone at 1.2532 would be a bullish sign, suggesting this might be the pair to trade to take advantage of any forthcoming USD selloff.
There is nothing due today concerning either the GBP or the USD.