GBP/USD Forex Signal - 10 March 2015

GBP/USD Signals Update

Yesterday’s signals expired without being triggered as the price never reached either 1.4950 or 1.5200.

Today’s GBP/USD Signals

Risk 0.75% per trade.

Trades may only be entered between 8am and 5pm London time.

 

Short Trade 1

  • Short entry following a bearish price action reversal on the H1 time frame immediately upon the first test of 1.5200.

  • Place 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.

  • Take off 50% of the position as profit when the trade is 25 pips in profit and leave the remainder of the position to ride.

 

Long Trade 1

  • Long entry following a bullish price action reversal on the H1 time frame immediately upon the first test of 1.4950.

  • Place the stop loss 1 pip below the local swing low.

  • Adjust the stop loss to break even once the trade is 30 pips in profit.

  • Take off 50% of the position as profit when the trade is 30 pips in profit and leave the remainder of the position to ride.

GBP/USD Analysis

I still do not see this as an attractive pair to trade, as the GBP is one of the stronger currencies, and the USD is the strongest currency without any doubt at all.

Overnight, the price bounced off a broken bullish trend line, which seems to now be acting as mobile resistance. However as we have just made this touch, I would not be looking to go short again at another touch of it. The fact that we have moved down off it suggests that today might be a down day for this pair. However the area between 1.5000 and 1.4950 is likely to be supportive, so any fall might be short-lived.

GBPUSD 31015

There are no high-impact events scheduled today concerning the USD today. Regarding the GBP, the Governor of the Bank of England will be testifying before a minor Parliamentary Committee at 2:35pm London time.

 

Adam Lemon

Adam Lemon began his role at DailyForex in 2013 when he was brought in as an in-house Chief Analyst. Adam trades Forex, stocks and other instruments in his own account. Adam believes that it is very possible for retail traders/investors to secure a positive return over time provided they limit their risks, follow trends, and persevere through short-term losing streaks – provided only reputable brokerages are used. He has previously worked within financial markets over a 12-year period, including 6 years with Merrill Lynch.