Today’s GBP/USD Signals
Risk 0.75% per trade.
Trades must be taken between 8am and 5pm London time today only.
Short Trades
Go short following a bearish price action reversal on the H1 time frame immediately upon the next touch of 1.3085 or 1.3150.
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.
Long Trades
Go long following a bullish price action reversal on the H1 time frame immediately upon the next touch of 1.2920.
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.
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
Today is big day for this pair as it awaits the announcement of the Bank of England monetary policy decision, alongside interest rates and the voting of Bank members on the policy. There is also the release of US inflation figures. Technically, and for the 5th consecutive day, this pair is still at the highest psychological resistance level of 1.3000. Gains didn’t break the 1.3088 resistance level in five weeks. The GBP has recently scored some gains supported by recent optimism over the possibility of a Brexit deal.
Regarding the GBP, there will be the release of the monetary policy decisions from Bank of England. Regarding the USD, here will be the release of consumer price index and jobless claims data.