GBPUSD: Profitable Trade and New Buying Opportunities

Do you remember this post? I wrote about a solid buying opportunity from the support zone. As you can see in the 1H chart the price formed a double bullish divergence at the support zone and it gave us an exact signal for buying.
We could open a long position following the breakout above SMA20 with stop orders below the local swing low and the support zone. The profit target we could place at SMA200. That trading opportunity gave a good profit. So, what's next?

The price broke SMA200 and it confirmed the trend reversal. The price is going to move up and we have the 1st buying opportunity based on a reversal from SMAs. At the same time we have 1.30000 resistance zone which is a barrier for the buyers. The breakout above this resistance will confirm the strength of buyers and a continuation of the uptrend. The breakout above the resistance will give the 2nd buying opportunity.

Stop orders for long trades should be placed below SMAs and the local swing lows. The main profit target should be at 1.32000 resistance. Risk per trade must be no more than 2% of the capital.



Disclaimer!
This post does not provide financial advice. It is for educational purposes only! You can use the information from the post to make your own trading plan for the market. But you must do your own research and use it as the priority. Trading is risky, and it is not suitable for everyone. Only you can be responsible for your trading.