Skip to Content
News & Analysis at your fingertips.

We use a range of cookies to give you the best possible browsing experience. By continuing to use this website, you agree to our use of cookies.
You can learn more about our cookie policy here, or by following the link at the bottom of any page on our site. See our updated Privacy Policy here.

Free Trading Guides
Subscribe
Please try again
Select

Live Webinar Events

0

Economic Calendar Events

0

Notify me about

Live Webinar Events
Economic Calendar Events

H

High

M

Medium

L

Low
More View More
Long GBP/USD Ahead of Yellen, Humphrey Hawkins

Long GBP/USD Ahead of Yellen, Humphrey Hawkins

- For trading ideas, please check out our Trading Guides. And if you’re looking for something more interactive in nature, please check out our DailyFX Live webinars.

To receive James Stanley’s Analysis directly via email, please sign up here.

This setup was discussed in our technical article on GBP/USD last week entitled, Bullish Continuation Seeks Higher-Low. Price action ran down to the top-end of the support zone that we were watching for on Monday of this week, after which buyers showed-up to push prices-higher.

While price action in Cable was retracing last week, a bearish trend-channel appeared, which makes up a bull flag formation. This morning has seen prices return to the upper-end of that channel, and this opens the door for a topside setup with a stop below the recent swing-low. With stops below 1.2845, the setup would take on approximately 75 pips of risk, which can open the door for an initial profit target on a retest of the 1.3000 psychological level, at which point the stop can be adjusted to break-even.

Secondary targets can be cast towards the previous swing-high at 1.3048

Long GBP/USD at Market

Stops below 1.2845

Initial target + break-even stop move at 1.3000

Secondary target at 1.3048

Chart prepared by James Stanley

--- Written by James Stanley, Strategist for DailyFX.com

To receive James Stanley’s analysis directly via email, please SIGN UP HERE

Contact and follow James on Twitter: @JStanleyFX

DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.

DISCLOSURES