The EURGBP is trending downward with lower highs and lower lows. This pair tends not to be too volatile and is more of a slow mover. With lots of news today… once we got to the U.S. session, this pair tends to be less reactive to the U.S. news releases. A short is taken following a reversal setup after the ADP Non Farm and Trade Balance releases – with a small 10 pip stop loss for a potential 30 pips to our Target 2.
As price moved downward, it began to find buyers beneath Target 1 and we closed the trade.
Also, whenever the EURUSD and the GBPUSD diverge, it is worth checking this pair for an entry setup.
Good luck with your trading!
Back tomorrow if we find a trade.