Will be taking a long position on GBP/USD based on the following reasons:
- Bullish hammer candle on Weekly TF. - Rejection of 0.786 fib - Respected ascending trendline
You might be thinking that I am super crazy by taking this trade, especially with the referendum only a couple of days away, however I feel as though the UK will not be leaving the EU and this is purely my opinion. I am willing to take on a higher risk as the risk/reward ratio is a lot higher. I expect a 1500 pip move as a minimum, which would blow away some really key levels regardless of which way the vote goes.
If you are taking a similar trade and running the risk, ensure that your brokers either have a guaranteed stop loss or a NBP (negative balance protection) to ensure that you do not end up with a blown account.