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Trade Plan: Long Trade: From analysing GBP/USD on my 4hr Anchor chart I could that price had been rejected from the highs and fell rapidly over the past two days finding support around the 1.4163 level. With price failing to break this support level whilst pushing down with divergence on the 1hr time frame this indicated a corrective wave to the long side. At 09:58 GMT I had multiple time frame conformation and fresh momentum, so I entered the trade long.

Price Entry: 1.4185

Price Stop:  1.4162

Profit Target: 1.42167

Risk to Reward: 1.41

Using the Pip Calculator to only risk 0.5% of my account with a 22 pip stop loss I had an execution lot size of 1.5. The trade ran from 09:58 GMT to 11:38 GMT giving me a total profit of +31 pips. Although the 4HR Momentum indicator was still short I had the GBP and USD Baskets going in opposite directions making this a high probability trade. I was very pleased with how the trade payed out as trading support and resistance levels is an area I need to improve on.