GBPUSD 15MBreak and Retest Strategy for GBPUAD Buy Position on 15m Chart
*Identifying the Break*
The GBPUSD pair has broken above the
1.27068 resistance level on the 15-minute chart. This level was previously tested multiple times, and the recent break suggests a potential shift in market sentiment.
*Waiting for the Retest*
After the break, the price has pulled back to retest the 1.27068 level. This retest is a crucial step in confirming the break and increasing the likelihood of a successful trade.
*Trade Idea*
*Buy* GBPUAD at 1.27520 (current price) with a *Stop Loss* at 1.27068 and a *Take Profit* at 1.3000.
*Rationale*
1. *Break and Retest:* The break above 1.27068 and subsequent retest increases the confidence in the trade.
2. *Support Turned Resistance:* The 1.27068 level, previously resistance, is now acting as support, indicating a potential shift in market sentiment.
3. *Momentum:* The break and retest have created a sense of momentum, which could propel the price higher.
*Risk Management*
- Set a stop loss at 1.27068 to limit potential losses.
- Use a risk-reward ratio of 1:3 or higher.
- Monitor the trade closely and adjust the stop loss and take profit levels as needed.
