GBPAUD: Long Opportunity at Demand Zone with 1.77 R Potential
The GBPAUD pair has a demand zone on the 1-hour chart between 1.89943 and 1.89800. If the price drops back to this zone, we may see an increase in buying pressure and a potential upward price movement. This could be a good opportunity to go long. Set the target at 1.90215 for a possible risk to reward ratio of 1.77 R, meaning a potential profit of 1.77 units for each unit of risk.
Set the stop-loss rule for this trade as follows: If we see a closing candle below 1.898 on the 1-hour chart, it may mean the demand zone was absorbed, indicating it's time to exit the trade.
As always, take into account other market factors and your own risk management before trading.
Set the stop-loss rule for this trade as follows: If we see a closing candle below 1.898 on the 1-hour chart, it may mean the demand zone was absorbed, indicating it's time to exit the trade.
As always, take into account other market factors and your own risk management before trading.