My GBPUSD analysis:

Trading Discussion Currencies
1

Hello Traders!

Here is my GBPUSD analysis:

GBP/USD WEEK

There are no changes over last week. We see an uptrend. The first target along the trend almost coincides with the strong reversal level 8/8. The price is in the upper trading range. After hitting level 7/8 there is a good chance of reaching T1. A reversal from level 8/8 is also possible.

GBP/USD DAY

This is a downtrend. There are no targets along the trend. The price has reached a strong reversal level 0/8 which is significant on weekly charts. There is a high possibility of the trend’s reversal from the oversold area.

GBP/USD 240

We can see a downtrend. On the way to the target there is a strong reversal level 2/8 which is significant on a senior time frame. The price is in the upper trading range. After hitting level 2/8 the price may reach target T1.

2

My GBP/USD analysis and trades over 02/01/10 – 02/05/10

1.1 GBP/USD 60 Result +64 p.p.

The trade is made as follows: when p.4 is hit, an order is set to open position at 1.5935, take profit at 1.5871, stop at

1.5976 (rule 6i). The ratio of planned profit to potential loss 1/(1+profit/loss)=0.39.

1.2 GBP/USD 60

The trade is not executed since, according to the rules, position opens after hitting p.4 and closes, in this case, at

target M. According to the rules, here the stop should be set at level 4/8 (rule 6i), but in this case the ratio of

potential profit to possible loss (1/(1+profit/loss)=0.65) contradicts the one stated in the rules.

1.3 GBP/USD 60 Result +102 p.p.

The trade is made as follows: when p.4 is hit, an order is set to open position at 1.5727, take profit at 1.5625, stop at

1.5790 (rule 6i). The ratio of planned profit to potential loss 1/(1+profit/loss)=0.38.

1.4 GBP/USD 240 Result +210 p.p.

The trade is made as follows: when p.4 is hit, an order is set to open position at 1.5846, take profit at 1.5636, stop at

1.6066 (rule 6i). The ratio of planned profit to potential loss 1/(1+profit/loss)=0.51.

[B]Total Result: + 376 pips![/B]

3

Thats impressive. Can you explain your strategy? I am a complete newbie and obviously sound very ignorant.
Thanks