GBP/USD Signal Update
Yesterday’s signals were not triggered as neither of the key levels were ever reached.
Today’s GBP/USD Signals
Risk 0.75% per trade.
Trades may only be entered before 5pm London time today.
Long Trades
Long entry following a bullish price action reversal on the H1 time frame immediately upon the next touch of 1.2595 or 1.2559.
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.
Short Trade 1
Short entry following a bearish price action reversal on the H1 time frame immediately upon the next touch of 1.2683.
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
I wrote yesterday that the pair was bullish but fragile. The fragility became very real when the price suddenly started to break down with momentum. It has continued to sell off, and on the way down has printed a new flipped support to resistance level at 1.2683. At the time of writing, the price is approaching a support level and an earlier swing low inflection point, so the fall is quite likely to be halted now, at least for a while.
Regarding the GBP, there will be a release of Manufacturing Production data at 9:30am London time. Concerning the USD, there will be a release of Crude Oil Inventories at 3:30pm.