[TW] 3-17-2012 GBP/USD Long by Pip Devil

GBP/USD 4-hour

Long or Short: Long

Entry Point: At the open of next week (1.5845)

Stop Loss: 100-pip TS

Profit Target/s: 1.6000 (or none, if you want to let the trade run)

Reward-to-risk Ratio: Depends on the exit

Risk percentage: 2%

Indicators: 200SMA

Trade Rationale:

This is a technical play on GBP/USD. There were a couple of significant things that happened with GBP/USD’s price action on Friday.

1.) The pair broke the long-term falling trend line
2.) Price closed STRONGLY above the 200 SMA
3.) The bullish candlestick seems more like a reversal of the trend than a mere retracement

Trade Adjustments: None