Short GBPUSD (Stop at 1.6050)
The GBPUSD has broken below its rising 4 hour trend line to trade at 1.60. Indeed, I noted yesterday that I was looking for a clear break below this level before entering into a short position. As prices have made a clear break below both the 100 hour moving average and the key 1.60 level, I will remain short at 1.5996 with a stop at 1.6050. As prices move in my favor, I will look to take 2/3 profit at 1.5926 and the rest on a move substantially lower (TBD at a later date). Currency traders will now shift their focus to the U.S. University of Michigan Confident report which will be released at 14:55 GMT. As of late, economists are forecasting a reading of 75.0. Join me to cover the report live!
GBPUSD 4 Hour Chart
Source: FXCM’s Strategy Trader – Prepared by Michael Wright
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