GBP/USD Forex Signal - August 11, 2016

GBP/USD Signals Update

Yesterday’s signals were not triggered as there was no bullish price action at 1.3017.

Today’s GBP/USD Signals

Risk 0.75% per trade.

Trades must be made between 8am and 5pm London time today only.

Long Trades

• Go long following a bullish price action reversal on the H1 time frame immediately upon the next touch of 1.2879 or 1.2850.

• Place 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 25 pips in profit and leave the remainder of the position to ride.

Short Trades

• Go short following a bearish price action reversal on the H1 time frame immediately upon the next touch of 1.3101 or 1.3172.

• Place 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 25 pips in profit and leave the remainder of the position to ride.

GBP/USD Analysis

Yesterday we saw a bullish move that failed with a double top structure not far below the anticipated resistance level at 1.3101. There was a move down from there and the price may have made new flipped support at 1.3023 although the level is dubious. If it holds, the price should continue to fall further. However, we are seeing some bottoming just below 1.3000 so I would watch what develops in the early part of today’s London session very carefully.

(Click on image to enlarge)

There is nothing of high importance due today concerning the GBP. Regarding the USD, there will be a release of Unemployment Claims data at 1:30pm London time.