FX.co ★ Trading tips for GBP/USD

GBP/USD rose to weekly high after the Bank of England said it would make temporary purchases of long-term UK bonds and postpone planned debt sales. This left a double top between September 26 and 28, which opens more opportunity for traders to consider long positions.

Since previous movements form a three-wave pattern (ABC), where wave A represents bullish pressure, traders can enter the market by buying from current prices up to the 61.8% and 50% retracement level. Set stop loss at 1.06, then exit the market on the breakdown of 1.09400.

This trading idea is based on the "Price Action" and "Stop Hunting" methods.

Good luck and have a nice day! Don't forget to control the risks.