FX.co ★ GBP/USD: Simple trading tips for novice traders on April 29th (US session)

Analysis of trades and trading tips for the British pound

The price test of 1.2520 in the first half of the day occurred when the MACD indicator was just starting to move down from the zero mark, confirming the correct entry point for selling the pound. As a result, the pair only dropped by 15 points, and that was it. The absence of statistics predictably helped the pound maintain its positions. There is no data ahead related to the American economy, so volatility promises to be at a fairly subdued level. On the one hand, this is bad, but on the other hand, all of this may help pound buyers break out beyond the daily high, continuing to build an upward trend. As for the intraday strategy, I will rely more on scenarios #1 and #2.

Buy Signal

Scenario #1: Today, I plan to buy the pound when the entry point reaches around 1.2548 (green line on the chart), with the target of rising to 1.2578 (thicker green line). At the level of 1.2578, I will exit the purchases and open sales in the opposite direction (expecting a movement of 30-35 pips in the opposite direction from the level). Today, the rise of the pound can be expected to follow a continuing upward trend. Important! Before buying, make sure that the MACD indicator is above the zero mark and is just starting to rise from it.

Scenario #2: I also plan to buy the pound today in the event of two consecutive tests of the price of 1.2520 when the MACD indicator is in the oversold zone. This will limit the downward potential of the pair and lead to a reverse market turnaround upwards. Expect a rise to the opposite levels of 1.2548 and 1.2578.

Sell Signal

Scenario #1: Today, I plan to sell the pound after the level of 1.2520 is updated (red line on the chart), leading to a rapid decline in the pair. The key target for sellers will be the level of 1.2497, where I will exit the sales and immediately open purchases in the opposite direction (expecting a movement of 20-25 pips in the opposite direction from the level). Sellers will manifest themselves in the absence of activity around the daily high. Important! Before selling, make sure that the MACD indicator is below the zero mark and just starting to decline.

Scenario #2: I also plan to sell the pound today in the event of two consecutive tests of the price of 1.2548 when the MACD indicator is in the overbought zone. This will limit the upward potential of the pair and lead to a reverse market turnaround downwards. Expect a decline to the opposite level of 1.2520 and 1.2497.

On the chart:

Thin green line - entry price, at which the trading instrument can be bought.

Thick green line - expected price, where Take Profit can be set, or profits can be fixed independently, as further growth above this level is unlikely.

Thin red line - entry price at which the trading instrument can be sold.

Thick red line - expected price, where Take Profit can be set or profits can be fixed independently, as further decline below this level is unlikely.

MACD indicator. When entering the market, following the overbought and oversold zones is important.

Important. Beginner traders in the forex market need to be very cautious when making trading decisions. It is best to stay out of the market before important fundamental reports to avoid getting caught in sharp exchange rate fluctuations. If you decide to trade during news releases, always set stop orders to minimize losses. Without setting stop orders, you can quickly lose your entire deposit, especially if you do not use money management and trade in large volumes.

And remember, for successful trading, it is necessary to have a clear trading plan, similar to the one presented above. Spontaneous trading decisions based on the current market situation are initially a losing strategy for an intraday trader.