GBP/USD Trading Signal Traders
The trading signal from yesterday worked out brilliantly today. There were so many buyers that my first target was blown away and the second target was almost reached. The pin bar trading signal from yesterday played out quite well. But, let’s not have our heads in the stars. We need all of our reasoning and concentration to take good trades. Let’s not forget that after a great winning streak, we might expect some losers, so we need to be on the watch-out. There is no system that works perfectly well 100% of the time, but the more experienced we got, the more we realise that the money management skills are the most important factor in a trading methodology. Therefore, we should not become over-enthusiastic. I still do not see a reason to get out of this position, though.
The trading signal from today is coming from GBP/USD. There was some strong selling in the past few sessions, but today we finally found some support and fresh buyers pushing the price to over 1.5300. What I am seeing today from a price action perspective is a bullish engulfing pattern. In today’s session there were more buyers than there were sellers yesterday. From a psychological point of view this is a very bullish signal, especially after a correction. My entry parameters for a long trade would be: waiting for a small retracement to 1.5300. Then I would be looking to enter in a long trade and place my stop just under the level of 1.5165. My first target would be the level of 1.5500. Then, it all comes down to price action.