Yesterday’s signals were not triggered, as none of the key levels were ever reached.
Today’s GBP/USD Signals
Risk 0.75% per trade.
Trades may only be taken before 5pm London time today.
Short Trade
Go short following a bearish price action reversal on the H1 time frame immediately upon the next touch of 1.2918.
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.
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 1.2697 or 1.2618.
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.
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
I wrote yesterday that if the price could get established above 1.2750 that would be a bullish sign. This was a good call as it happened, and the price rose a little over the day. This pair still looks quite bullish, in fact now it looks more bullish than the EUR/USD currency pair. The bullishness is surprising considering the British Parliament will be holding a vote on the Brexit deal next week which the Government still seems likely to lose, but it may be the market is seeing a greater chance of the deal passing. I would take a bullish bias if the price is above 1.2800 at 9am London time.
There is nothing of high importance due today concerning either the GBP or the USD.