GBP/USD produced a hammer after being bearish on the daily chart for several days. The price has been heading towards the South upon producing a double top on the daily chart. Thus, the sellers keep driving the price towards the South. The H1 chart today has been bearish from the very outset. It has made a breakout at yesterday’s lowest low as well. The sellers may find another opportunity to go short in the pair.
Chart 1 GBP/USD H1 Chart
The chart shows that the price made a breakout at 1.21840. The pair is trading below the level as of writing. If the price makes an upside correction and produces a bearish reversal candle at the breakout level, the sellers may go trigger a short entry below the level of 1.21640.
Trade Summary
Entry: Sell below 1.21640
Stop Loss: Above 1.21840
Take Profit 1: 1.21300
Take Profit 2: 1.21150
Take Profit 3: 1.20950