Signs of the uptrend fading appeared on the GBP / USD currency pair, so I opened a sell trade at the current price with a small stop of 30 pips. The projected profit can be 100-120 points. It is not difficult to calculate that the profit / loss ratio for this trade exceeds the classic 3 to 1.
I will not paint for a long time, so I will only talk about the key factors that indicate a possible reversal of the pound dollar.
one. The price has moved more than 100 points from the upper boundary of the balance.
2. On the hourly chart, a bearish divergence is formed, and using candlestick analysis, you can easily find a seller gaining short positions or a buyer taking profit on previously opened purchases.
- sell – at the current price;
- take profit – 1.3960;
- stop loss – 1.4110.
All good mood and profitable trading!