Geometric Intraday Trade Idea (GITI) – GBP/USD 1Hr

Which Instrument & Time Frame?

The GBP/USD on a 1Hr chart is currently trading at the 1.2988 area.

Which direction?

Overall, based on the three timeframes; 1Hr, 4Hr & the Daily chart, this pair appears to be strongly Bearish.

What pattern?

From a ‘Geometric ’pattern’s perspective, a Bearish ‘ABCD’ pattern is believed to have formed offering a Short opportunity if one is entering the trade from C to D. It’s potentially undergoing a correction through this C to D move reaching out to the blue zone at D point before potentially before making rebounding.

How to Trade it?

Geometrically speaking, intraday traders could benefit from a short-term Short trade with an ideal entry below the psychological 1.3025 level aiming your ideal TP before prices reaching the next psychological area of 1.2880 . As for the Stop Loss (SL) level, one could apply the 1:1 risk to reward ratio where the number of pips you are willing to risk could equal the number of potential pips in profit. There is still an approximate 150 to 200 pips opportunity from the probable entry area to the TP level if prices are not too far off the price mentioned of where it is trading at present. Sell the rips.

Happy Geometric Pipping !