Forex Strategy: Enter Short GBPUSD, Stay Long EURUSD

DailyFX

GBPUSD confirmed a Shooting Star candlestick below resistance at the top of a rising channel with a bearish close on the following day’s bar, hinting a reversal may be underway. I entered short at 1.5536, initially targeting the 14.6% Fibonacci retracement at 1.5385. A stop-loss will be triggered on a daily close above 1.5606.

I also continue to hold a long EURUSD from 1.2934. Prices are pulling up from support at a rising trend line set from the March 27 low to test the 38.2% Fibonacci expansion at 1.3127. A break above that initially aims for the 50% level at 1.3181. The stop-loss is now at the breakeven level.

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