GBP/USD produced a bullish engulfing candle yesterday at a support zone. The H4 chart shows that the price made a bearish correction. As of writing, the price has been bullish in the current H4 candle. If the candle comes out as a bullish reversal candle, the buyers may go long above yesterdays highest high. Let us have a look at the H4- GBP/USD chart.
Chart 1 GBP/USD H4 Chart
The chart shows that the price upon having a bounce at a level of 1.30600 produced a bullish engulfing candle and headed towards the North. It made a breakout at the level of 1.31350. Having a rejection at the level of 1.31700 area, it produced two bearish candles. The level of 1.31350 has been working as a level of support. If the level ends up producing a bullish reversal candle, the buyers may trigger a long entry above 1.31700.
Trade Summary:
Entry: Buy above 1.31700
Stop Loss: Below 1.31350
Take Profit 1: 1.31950
Take Profit 2: 1.32100
Take Profit 3: 1.32375