GBP/USD Forex Signal - 10 December 2014
GBP/USD Signals Update
Yesterday’s signal expired without being triggered as the price never reached 1.5789.
Today’s GBP/USD Signals
Trades must be made before 5pm London time.
Short Trade 1
Go short after bearish price action on the H1 time frame immediately following the next touch of 1.5789.
Put 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 trade is 25 pips in profit and leave the remainder of the position to ride.
I wrote yesterday that it seemed we were breaking above the bearish trend line, which was a bullish sign. This pair did in fact manage to maintain itself above the trend line, and late in the New York session actually retested it with a bullish bounce. These are all bullish signs.
Although there are no obvious strong resistance levels before 1.5789, there are some choppy swing highs up there, and the price needs to get above 1.5720 before we can be confident it will go up to 1.5789. The level at 1.5750 might also prove hard to break.
Should we fall back below the trend line, that would call the bullishness into question, but there is fairly strong support at 1.5625 that could push the price up again.
Overall, this pair is choppy and unpredictable, but showing some bullish signs.
There are no high-impact data releases scheduled today directly concerning either the GBP or the USD.