GBP/USD Signals Update
Yesterday’s signals were not triggered as there was no bearish price action when the price hit 1.3150.
Today’s GBP/USD Signals
Risk 0.75% per trade.
Trades must be taken before 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 1.3139, 1.3050 and 1.3000.
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.
Short Trades
Go short following a bearish price action reversal on the H1 time frame immediately upon the next touch of 1.3300.
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.
GBP/USD Analysis
I wrote yesterday that we could use the bearish trend line to confirm the start of a bullish move once it has broken and this would have been a good tactic. The price has not only flipped new support from resistance at 1.3139 but has also in recent hours started to use an old supportive trend line as the base for more upwards movement late in this Asian session.
If the price holds up above this trend line with conviction during the first hour of the London session then it is likely we will see a continued rise to 1.3300 or at least very close to it.
In spite of the long-term bearish trend.
Concerning the GBP, there will be a release of Retail Sales data at 9:30am London time. Regarding the USD, there will be a release of Unemployment Claims data at 1:30pm.