GBP/USD Signal Update
Last Thursday’s signals expired without being triggered.
Today’s GBP/USD Signals
Risk 0.75%
Entries may be made only between 8am and 5pm London time today.
Long Trade 1
Go long following confirming bullish price action on the H1 chart following the first touch of 1.6853.
Place the stop loss 1 pip below the local swing low.
Move the stop loss to break even when the price reaches 1.6900.
Remove 75% of the position as profit at 1.6940 and leave the remainder of the position to ride.
Short Trade 1
Go short following confirming bearish price action on the H1 chart following the first touch of 1.7041.
Place the stop loss at 1.7084.
Move the stop loss to break even when the price reaches 1.7000.
Remove 50% of the position as profit at 1.7000 and the remainder of the position at 1.6988.
GBP/USD Analysis
The strong upwards trend has continued. The GBP has been the strongest world currency for some time now and the USD in recent days has been the weakest. We almost hit 1.7000 this week making near 5-year highs and there is no end to the upwards trend in sight. I have been continually bullish on this pair for some time now.
The drive down after last Friday’s NFP created flipped resistance to support at 1.6853; however this level was deeply penetrated so it might be a little soft.
Above us there is old flipped support to resistance at 1.7041 which might be good for a conservative short.
We have big news today especially on the GBP side so I am not looking for any touch trades as the price movements could be very volatile.
There is very high-impact news due today concerning both the GBP and the USD. At Noon London time the Bank of England will release the GBP Official Bank Rate and Asset Purchase Facility. Also at 1:30pm there will be the release of USD Unemployment Claims data followed by the Chair of the Federal Reserve speaking at 2:30pm. So it is likely to be a quiet morning followed by plenty of volatility from about 11:45am.