Last Thursday’s signals were not triggered as there was no bearish price action at 1.3000.
Today’s GBP/USD Signals
Risk 0.75% per trade.
Trades may only be entered between 8am and 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 1.2979 or 1.2943.
- Place the stop loss 1 pip below the local swing low.
- 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 Trade 1
- Go short following a bearish price action reversal on the H1 time frame immediately upon the next touch of 1.3075.
- 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.
The best method to identify a classic “price action reversal” is for an hourly candle to close, such as a pin bar, a doji, an outside or even just an engulfing candle with a higher close. You can exploit these levels or zones by watching the price action that occurs at the given levels.
GBP/USD Analysis
This pair remains in a long-term bullish trend and managed to reach a new multi-month high price above the very key resistance level of 1.3000. However, the action is relatively subdued and messy compared to the EUR/USD which is more bullish than this pair, and a more central driver of the market. I maintain a long bias, but it looks as if the price may struggle to rise today, although the support level at 1.2979 is holding so far and could still be the low of the day.
There is nothing due today concerning either the GBP or the USD.