GBP/USD Forex Signal – 11 April 2018

GBP/USD Forex Signal – 11 April 2018

By: DailyForex.com

Yesterday’s signals were not triggered, as neither of the key levels were reached.

 

Today’s GBP/USD Signals

Risk 0.75% per trade.

Trades must be taken before 5pm London time today only.

 

Short Trade

· Short entry following a bearish price action reversal on the H1 time frame immediately upon the next touch of 1.4193, if the price is not already above that level at 8am or 9am London time.

· 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.

 

Long Trade

· Long entry following a bullish price action reversal on the H1 time frame immediately upon the next touch of 1.4118.

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

 

The best method to identify a classic “price action reversal” is for an hourly candle to close, such as a pin bar, a doji, an outside or even just an engulfing candle with a higher close. You can exploit these levels or zones by watching the price action that occurs at the given levels.

 

GBP/USD Analysis

I was correct to look to profit on the long side yesterday, as the price has continued to advance, and at the time of writing is threatening the nearby resistance level at 1.4193. I also looked at long GBP/JPY which could have worked out well too.

The technical picture remains bullish and there is no reason to turn bearish on this pair. If the price can get established above the resistance at 1.4193, it would have a lot of room to rise further before meeting the next level. There is a new higher support level at 1.4118, which is another bullish sign, although the level does not look very clear to it might be quite flexible if reached. I maintain my bullish bias today.

gbpusd

Concerning the GBP, there will be a release of Manufacturing Production data at 9:30am London time. Regarding the USD, there will be a release of CPI data at 1:30pm, followed by Crude Oil Inventories at 3:30pm and the FOMC Meeting Minutes at 7pm.

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