GBP/USD Signals Update
Yesterday’s signal was not triggered as the price never reached 1.5522.
Today’s GBP/USD Signals
Risk 0.75% per trade.
Trades must be made before 5pm London time today.
Long Trade 1
Long entry following a bullish price action reversal on the H1 time frame immediately upon the next touch of 1.5522.
Put the stop loss 1 pip below the local swing low.
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 1.5740 and leave the remainder of the position to run.
Short Trade 1
Short entry following a bearish price action reversal on the H1 time frame immediately upon the next touch of 1.5750.
Put 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 1.5615 and leave the remainder of the position to run.
GBP/USD Analysis
There has been great bullishness in the GBP and yesterday saw yet another rise in this pair. Although we broke above 1.5550 without much difficulty, I think 1.5750 might prove to be a more difficult hurdle to overcome and therefore I could see a pull back, either from the price reaching that level or from where we are already. There is some local support at 1.5600 and more significant support below that at 1.5522. There is plenty of news today that might push the price around and give some opportunities to trade the aforementioned key levels from spikes and/or reversals.
There are high-impact news events scheduled today concerning both the GBP and the USD. At 9:30am today London time there will be a release of Average Earnings Index and Claimant Count Change data, followed at 10:30 by the Bank of England’s Inflation Report presented by the Governor. Later, there will be a release of U.S. Retail Sales data at 1:30pm.