British Pound / U.S. Dollar
Short
Updated

GBP/USD... Sell chart pattren...

322
MY short position on GBP/USD starting at 1.28000 looks like it's got some potential, especially with those target points at 1.25500 and 1.22700. To really dig into this, let's break down the technical setup.

First off, the current trend in GBP/USD seems to be bearish, which aligns with your short position. If we look at the charts, particularly the 4-hour and daily charts, we can see some key levels that might influence the price movement.

*Key Levels to Watch*
1. *Support Levels*: These are crucial for understanding where the price might bounce back or break through. Your first target at 1.25500 looks like it could be a significant support level based on recent price action. If the price breaks through this level, it might head towards your second target at 1.22700.

2. *Resistance Levels*: For your short position, the key resistance level to watch would be around the entry point of 1.28000. If the price starts to climb back towards this level, it might indicate a reversal in the trend, which would be a signal to reconsider your position.

*Indicators*
- *Moving Averages (MA)*: A bearish crossover in the short-term and long-term moving averages (e.g., 50-period and 200-period MAs) could reinforce the bearish trend, supporting your short position.

- *Relative Strength Index (RSI)*: An RSI below 50 often indicates a bearish trend. If the RSI is hovering around 30-40, it might suggest that the pair is oversold, potentially leading to a bounce-back or consolidation phase.

*Economic News and Events*
Keeping an eye on economic indicators from both the UK and the US is crucial. Events like interest rate decisions, GDP growth rates, and employment data can significantly impact the GBP/USD pair. For instance:

- *UK Economic Data*: Weak economic data could further depress the GBP, supporting your short position.

- *US Economic Data*: Strong US economic data could strengthen the USD, also supporting your short position on GBP/USD.

*Risk Management*
Given the potential volatility, setting a stop loss is a good call. Consider placing it slightly above a significant resistance level to limit potential losses if the trend reverses. Regularly monitoring the trade and adjusting your stop loss as the price moves in your favor can also help manage risk.

*Next Steps*
- *Technical Analysis Tools*: Utilize tools like Fibonacci retracement levels, Bollinger Bands, and the MACD indicator to get a more comprehensive view of potential price movements.

- *Stay Informed*: Keep up-to-date with market news and economic calendars to anticipate potential market-moving events.

Do you want to dive deeper into any specific technical indicators or discuss potential scenarios based on upcoming economic events?
Trade active
Trade active
Note
trade runing 110 pips keep hold

Disclaimer

The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.