GBP/USD Signals Update

Last Thursday’s signals were not triggered as the price did not reach 1.6550 or 1.6655 that day.

Today’s GBP/USD Signals

Risk 0.75%.

Entries before 5pm London time today only.

Long Trade

Go long following bullish price action on the H1 time frame after the first touch of 1.6500.

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

Move the stop loss to break even when the price reaches 1.6550.

Take off 75% of the position as profit at 1.6550 and leave the remainder of the position to run.

Short Trade 1

Go short following bearish price action on the H1 time frame after the first touch of 1.6655.

Place a stop loss 1 pip above the local swing high.

Move the stop loss to break even when the price reaches 1.6600.

Take off 50% of the position as profit at 1.6600, half of the remainder at 1.6550, and then leave the rest of the position to run.

Short Trade 2

Go short following a strong lower high after the price exceeds 1.6598.

Place a stop loss 1 pip above the local swing high.

Take off 75% of the position when profit is twice risk and leave the remainder to run.

GBP/USD Analysis

The strong downwards trend has continued. The USD is very strong and the GBP has recently weakened and that has obviously resulted in this pair falling sharply.

Yesterday was a public holiday in the U.K. so was fairly quiet. It is notable that the support at 1.6550 did hold in spite of the price opening just below that level this week, and not surprising that the banks tried their usual trick of getting the price to gap down below such support over the weekend. The gap has been filled and we have just seen a slight strengthening of the GBP.

It currently looks like the best trade will be waiting for a pullback to around the 1.6600 – 1.6650 area, from which the price is quite likely to fall again.

GBPUSD 82614

There are no high-impact data releases due today concerning the EUR. Regarding the USD, at 1:30pm London time there will be a release of Core Durable Goods data, followed by CB Consumer Confidence at 3pm, both of which are likely to affect the USD. This pair is likely to be more active during the New York session.

Related Articles
  1. Economics

    Long-Term Investing Impact of the Paris Attacks

    We share some insights on how the recent terrorist attacks in Paris could impact the economy and markets going forward.
  2. Credit & Loans

    HARP Loan Program: Help for Underwater Mortgages

    If you are underwater on your mortgage, this program may be just what you need to help build up equity in your home.
  3. Taxes

    How & Where to File Form 1040 (And Which Version)

    All taxpayers need to know three things when filing a 1040: which form to use, how to file and where to file. After reading this, you'll know all three.
  4. Stock Analysis

    An Introduction To The Indian Stock Market

    Most trading in the Indian stock market occurs through its two exchanges – the Bombay Stock Exchange and the National Stock Exchange.
  5. Retirement

    Should Social Security Be Privatized?

    The idea of controlling your own retirement money is one that continues to hold appeal for a large segment of voters.
  6. Savings

    How Americans Can Open a Bank Account In Thailand

    Have your paperwork in order and be sure to shop around.
  7. Savings

    Should You Look at 529 Plans Outside Your State?

    529 savings plans are not restricted by geography. So if your in-state offering has high fees or poor investment choices, look elsewhere.
  8. Entrepreneurship

    7 HR Basics for Small Businesses

    Whether or not you are a fan of human resources, every employer needs to know the answers to these questions.
  9. Savings

    Opening a Bank Account in Costa Rica as an American

    It shouldn’t be too hard to do, provided you have the appropriate documentation and forms. But be prepared for lots of paperwork!
  10. Chart Advisor

    Copper Continues Its Descent

    Copper prices have been under pressure lately and based on these charts it doesn't seem that it will reverse any time soon.
  1. Are catch-up contributions included in the 415 limit?

    Unlike regular employee deferrals, catch-up contributions are not included in the 415 limit. While there is an annual limit ... Read Full Answer >>
  2. Can catch-up contributions be matched?

    Depending on the terms of your plan, catch-up contributions you make to 401(k)s or other qualified retirement savings plans ... Read Full Answer >>
  3. Is Australia a developed country?

    Australia is one of the most developed countries in the world. The nation's per capita gross domestic product (GDP), one ... Read Full Answer >>
  4. Is Nigeria a developed country?

    Nigeria is not a developed country by any reasonable standard. The country's per capita gross domestic product (GDP) is much ... Read Full Answer >>
  5. Are catch-up contributions included in actual deferral percentage (ADP) testing?

    Though the Internal Revenue Service (IRS) carefully scrutinizes the contributions of highly compensated employees (HCEs) ... Read Full Answer >>
  6. Who offers 401(k) plans?

    401(k) plans are one of the most common retirement plans available. A 401(k) plan must be offered by a business. These plans ... Read Full Answer >>

You May Also Like

Trading Center