Forex Trading Journal:Gbp/Usd Trade Setup

My last trade with the Nzd/Usd Worked out well, the price did not meet my target but I ended up getting out of the trade at +78 pips which I am happy with. remember to follow me on twitter for trade updates. I like to jump out of the gates with some good trades at the start of the month and I was able to accomplish that. Now the key is to keep momentum going for the rest of the month.

Here is the journal entries.

Trading Log July 4th

Trading Log July 4th

I am going to be starting out the week looking at mainly two trades. The Gbp/Usd and the Usd/Chf look as they both could change direction soon and when they do I think we should go along for the ride.

Here is my outlook on the Gbp/Usd

Daily Chart

July 4 GBPUSD DAILY CHART

July 4 GBPUSD DAILY CHART

I currently see resistance a the .764 Fibonacci retracement level on the daily chart. Look for the trend line to be broken on the daily chart for more losses. If the .764 gets broken to the upside we could see the price move all the way to 1.5500 price area.

Now my immediate trade that I will be waiting to see if I can find an entry.

Now the 1Hr Chart which is where I find my entry.

July 4 1Hr Chart

July 4 1Hr Chart

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Casey Stubbs is the founder of Winners Edge Trading, which is one of the most widely read forex sites on the web. Winners Edge Trading has trained thousands of people to trade the Forex markets.

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  • Sifufx

    Thanks Casey, Nothing wrong wrong with 39 on a low liquidity day as yesterday.

  • That is some good trading.

    I actually ended up with only about +39 pips on on the trade but hey I will take it. 🙂

  • The support of 1.5128 was broken but it broke below 1.5100 and since has been range trading.

    One of the problems of trading swings is waiting for the targets to be hit, sometimes the pair gets stuck in consolidation.

    Thanks

    Casey

  • Sifufx

    Sorry. just realiazed i wrote the USDJPY numbers incorrect on here. . Sorry.

    Two trades yesterday sold GPBUSD on retest 1.5140 close 1.5086 , GBPJPY entry 182.800 round number in all. close jiust now at 132/118

  • The picture is in the post it is actualy on both pictures. You can see the trend line in both of those charts?

  • at the moment gbpusd has a strong support at 1.5128, so prices may go sideways 4 some time before the supprt is broken, once broken next stop will be 1.4867. usdchf has a minor resistance which i think can break easily. howevere a good catch. keep it up because you give us a good chance for analysis and deeper understanding.
    thanks

  • Sifufx

    Cheers Casey,

    I don't post much via forums media as II don't have the time to cosistantly reply and update, due to a loaded trading schedule. If you ike you can use the above comment.

    At present i am watching AUDJPY and AUDUSD, Australia interest rate tomorrrow, and am watching the 4hr close. my charts are GMT+2

  • Privateuno

    Casey, regarding your comment below where you stated “your trendline breaking at the 1.5000 level?
    Can you post a picture please. I am not sure what chart you are referring?

  • Great Comment that is like a blog post in itself.

  • Sifufx

    Looks pretty good that trade. Beaware of 1.5095 zone. no entry unless a close below 1,5149 support by price action, 15 minuts chart may assist determing PA. At that point i will be considering my options to sell, as i see my first target near 50 pips profit, risk/reward will play a role prior entry. I am looking for long positions of the bottom channel trendline. 1 .5095 breaks them 1.5000 looks to be the point of a reversal.for a entry long using at 50 pip defalt stop. which is adjusted through out the trade. Entries are scaed into as to limit osses and inhance profits.

    US Index looking weak, possible sentiment change in USD. Positions should be sort in agreement of macro indicators.

    Trades as a risk sentiment comes into the market are at present. These need revised. So do your homework. Look to sell USDJPY 1.07124 on a move higher, breakout below 1.05714 , target near the 1.04420, Bias is down. Ned to have a rea of new Japan government monetary policy. I hear a weaker Yen is favoured, Hmmm.

    USDCHF, was chatting with a trader from swiss bank on friday, opinion is CHF has low liquidity hence recent moves, so i am a little wary on CHF crosses. possibility of USCHF going into a range trading formation between high of 1.08468. low 1.0442 which will give a 300 pip range. Internal zones to beaware of move higher to 1.07124, this could present at nice sell entry. and on the internal 1,06341.

    Additional.

    The world has already bid Treasuries into the stratosphere due to their flight to quality status and because of evidence of US slowing. On Friday the Treasury rally seemed to run out of gas, and the US Dollar appears to have finally caved in. This suggests to us that world sentiment is changing and that further slowing in the US could mean a flight from the USDollar and from US Treasuries. While gold was down sharply friday, the world might have little choice but going to gold because of the almost total absence of a sturdy currency..

  • victor omoregie

    don't you think they could be retracement for the GBP/USD going south to strenthen the USD

  • john

    Thanks Casey,

  • the one at the 1.5150 area.

  • john

    At which shelf level are you looking at for the hr candle to close below for your entry?

  • mihai o.

    Now I understand. Thank you

  • I came up with 1.5000 because that is where the trendlines sits which acts as support.

  • mihai o.

    sry, I meant 1.5000 level, represented on the last chart (for hourly support)

  • i meant resistance on the daily chart. I will fix it thanks

  • mihai o.

    How did u come out with the 1.5500 suport level? thanks