WARNING: Unless you've been scalping this upward channel, which at the maximum could've yielded between 500-700 pips; this is a risky play considering the number of times that this trend line has been tested. I personally scalped about 300 pips out of this channel so far, so I can afford the risk.
Wait for price to hit the trend line in the 1.669X region for a possible long entry. Consider exiting if price closes below the trend line. Target 1: 1.682X region (February high) Target 2: 1.7000 (highly doubt we'll get there on this attempt, it'll probably come back down for another long opportunity before going back up.
Contingency plan: Even if the trend line doesn't hold, the entire 1.66-1.67 is a solid buy zone for position traders. However, I'd wait for the lower end to try going long again.
Possible support levels below: 1.664X 1.661X 1.66 (BIG LEVEL) 1.658X
Comments
ForexWeeklyAnalysis
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Update: I started unloading some longs already.
10% at 1.6655 closed at 1.6670 = +15 pips
20% at 1.6625 closed at 1.6680 = +55 pips
Still holding 70% of my position from 1.6600
ForexWeeklyAnalysis
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Not liking the sluggish movement here, price is stalling. Got out of another 20% from 1.6600 at 1.6680 = +80 pips. Still holding 50% of my position from 1.6600.
ForexWeeklyAnalysis
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Just woke up from my nap, I see GBP/USD hit the low 1.67XX region. I did mention yesterday that "I may have to adjust my targets to the low 1.67XX region instead of the previous 1.68XX region". I had set my remaining position to TP at 1.6710, so that's +110 pips on the remaining 50%. This trade is now considered finished, especially since price got rejected up there.
ForexWeeklyAnalysis
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For the record, my GBP/USD position was taken prior to opening the new forex account, so these trades won't be on myfxbook.
ForexWeeklyAnalysis
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Something to consider, EUR/USD is dragging up GBP/USD right now. Depending on who's in the driver seat, if/when EUR/USD decides to drop, it may drag down GBP/USD with it, so my targets may not be reached.
ForexWeeklyAnalysis
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I'm going to start scaling out of my longs around 1.67 to free up margin so that I can manage the other pairs I'm watching.
ForexWeeklyAnalysis
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e.g., I'd rather have 2 or 3 big positions, then to have 10 small ones.
ForexWeeklyAnalysis
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Update: I have a full position on GBP/USD now, the rest of it filled at 1.6600 (the BIG LEVEL that I mentioned in my original post), my average price is now 1.6610.
ForexWeeklyAnalysis
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Based on consolidation at the low 1.66XX region, I suspect price will be making a big move soon. Which direction? I have no idea, hopefully up and in my favor. If it does go down, I don't see it going below 1.6550, which is well above my SL (!00 pips). So I'm not really worried about this trade considering price is currently hovering above my average price.
ForexWeeklyAnalysis
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Depending on how GBP/USD reacts to the up side (assuming we a) get out of this consolidation and b) break upwards) then I may have to adjust my targets to the low 1.67XX region instead of the previous 1.68XX region
10% at 1.6655 closed at 1.6670 = +15 pips
20% at 1.6625 closed at 1.6680 = +55 pips
Still holding 70% of my position from 1.6600