Last Thursday’s signals were not triggered, as there was no bearish price action when the price reached 1.3226.
Today’s GBP/USD Signals
Risk 0.75% per trade.
Trades must be taken between 8am and 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 1.3132 or 1.3018.
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 1.3226 or 1.3344.
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.
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 is in a long-term bullish trend, and keeps finding key support above the psychologically crucial 1.3000 level. It is in no hurry to rise, and over the medium-term is gently rising in a clear bullish channel which is very consolidative. To rise further the next resistance level at 1.3226 must be broken soon, if this does not happen, the price should fall to 1.3132. Alternatively, even if the price does rise strongly and make new highs, it looks very likely to be stopped by resistance before 1.3344, so gains look uncertain and limited even if the bulls get more control.
I have a mildly bullish bias.
There is nothing important due today concerning either the GBP or the USD.