GBP/USD Signal Update
Last Thursday’s signals were not triggered and expired.
Today’s GBP/USD Signals
Risk 0.75%
Entries must be made between 8am and 5pm London time today
Long Trade 1
Go long after confirming bullish price action on the H1 chart following the first touch of 1.6805.
Place the stop loss 1 pip below the local swing low.
Move the stop loss to break even when the price reaches 1.6875.
Take off 50% of the position as profit at 1.6875 and leave the remainder of the position to run.
Short Trade 1
Go short after confirming bearish price action on the H1 chart following the first touch of 1.6914.
Place the stop loss 1 pip above the local swing high.
Move the stop loss to break even when the price reaches 1.6860.
Take off 75% of the position as profit at 1.6860 and close the remainder of the position at 1.6815.
GBP/USD Analysis
The price fell somewhat on Thursday and Friday, before rising with some strength since this week’s opening.
It is not surprising that things look fairly bullish as the upwards trend has remained intact and I am looking for more on long trades than short trades, although short trades can be taken conservatively when good opportunities present themselves.
The key technical developments since last Thursday are: the long-term bullish trend line has held; the shorter-term bullish trend above that still has some influence both ways (see the chart below); and we have new key flipped levels at 1.6805 (support) and 1.6914 (resistance) at which to seek trades.
The level of 1.6864 that I was looking at previously gave some support last week before failing to hold, and then getting beaten about to the point where it became irrelevant.
There is little news due today so it might be a quiet day. In any case we are very unlikely to have to worry about any levels much beyond the two lines I have already mentioned.
There is no important news due today regarding the GBP. Concerning the USD, there is the CB Consumer Confidence data at 3pm London time.