The GBPUSD started to move lower early in the U.K. session.
A short was taken risking 17 pips for a potential 66 pips to our daily target at 1.3762. Both the Asian session low and yesterday’s low were quite close to our entry. Price was able to go through both levels in one candle. We protected ourselves by moving our stop loss to plus 2 pips and waited to see if price would continue lower.
Price again broke to the downside and we locked in profit as it moved lower with each successive candle. We were closed as price spiked higher and were out of the trade well before Governor Bailey’s speech and the U.S. open.
Levels to watch for in the GBPUSD
Above: 1.3778, 1.3800, 1,3820, 1.3877, 1.3889, 1.3900, 1.3931, 1.3959
Below: 1.3760, 1.3741, 1.3722, 1.3700, 1.3663, 1.3641, 1.3611, 1.3600
Good luck with your trading!