- Am I buying at a potential bargain/wholesale/ discount price? (supply or demand zones)
- Why is there more likely to be more supply/demand orders at that area? (new traders entering/traders taking profit at horizontal, diagonal & dynamic areas)
- What are the underlying fundamental/sentiment drivers that should push price in my favour? (interest rates, business cycle, risk on/risk off)
If all 3 are in your favour, take the trade, manage your risk and go for more than you've risked.
Always remember this trade is only 1 trade in the next thousand you're going to take.
Process over outcome!
keep an eye on all gbp pairs and if demand is increasing on all/most of the gbp crosses you have a greater signal that there is a true increase demand for the gbp (or any currency) from a technical perspective.
hope i answered your question and thanks for asking.