FX.co ★ Tips for trading GBP/USD

Good day, traders! The strong decline that occurred in GBP/USD during yesterday's US session could give rise to a massive move for buyers' liquidity. It would be best if traders consider short positions when trading the pair today.

Now that there is a three-wave pattern (ABC), where wave A represents the downward movement observed on Monday, traders could sell up to the 50% retracement level, with stop loss set at 1.25600. Take profit upon the breakdown of 1.24800, 1.24350, and 1.23500.

This trading idea is based on the "Price Action" and "Stop hunting" methods.

Good luck and have a nice day! Don't forget to control the risks.