For Traders

Analytical Reviews

Technical analysis

12.10.202011:41 Forex Analysis & Reviews: Trading idea for the GBP/USD pair

This information is provided to retail and professional clients as part of marketing communication. It does not contain and should not be construed as containing investment advice or investment recommendation or an offer or solicitation to engage in any transaction or strategy in financial instruments. Past performance is not a guarantee or prediction of future performance. Instant Trading EU Ltd. makes no representation and assumes no liability as to the accuracy or completeness of the information provided, or any loss arising from any investment based on analysis, forecast or other information provided by an employee of the Company or otherwise. Full disclaimer is available here.

On Friday, the pound has reached a quote of 1.3, which is the second target of the bullish strategy presented last September 30 .

Its idea was to set up long positions in order to reach the target levels indicated on the chart below.

Plan:

Development:

But since the third target (and main goal) has not been reached yet, long positions should be maintained, especially since Boris Johnson now has very little time left to come to an agreement with the EU. The lack of a post-Brexit deal could lead to a sharp decline in the British pound, so huge efforts are needed to retain the bullish mood in the GBP / USD pair.

If the strategy succeeds, the movement up to 1.35 (main target) would amount at least 5,000 pips.

However, we have to monitor the risk so as to avoid encountering losses. Keep in mind that the market is very unpredictable, so trading is very precarious, but then also profitable, provided that we use a correct strategy or approach

Good luck!

Back to the list

Open trading account

InstaForex analytical reviews will make you fully aware of market trends! Being an InstaForex client, you are provided with a large number of free services for efficient trading.