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Pound soared yesterday after the Bank of England announced possible rate hikes.
In fact, the news set off a pin bar in GBP / USD, which points to a bullish scenario in the market.
Taking this into account, it is a good idea to open long positions, the strategy for which is below:
So, since the quotes formed a wave pattern (ABC), in which wave "A" is the bullish initiative observed yesterday, long positions may be opened from 1.36350, the target of which is a 50% retracement.
Limit should be set at 1.36, and then take profit as soon as the quote breaks through 1.37 and 1.37600.
Of course, traders still need to carefully assess the situation before placing any position. Trading is very precarious, but profitable as long as the correct strategy is used.
The plan above follows Price Action and Stop Hunting methods.
Good luck!
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