empty
21.04.2025 05:36 AM
How to Trade the GBP/USD Pair on April 21? Simple Tips and Trade Analysis for Beginners

Analysis of Friday's Trades

1H Chart of GBP/USD

This image is no longer relevant

On Friday, the GBP/USD pair showed extremely low volatility, yet the British pound steadily crept upward even with such market conditions. In fact, over the past week, the price only declined on Wednesday—and even then, only during the second half of the day. As a reminder, Wednesday saw the release of the UK inflation report, which has fueled expectations of a potential rate cut by the Bank of England at its next meeting. However, as we can see, this factor had only a short-lived negative effect on the pound. On all other days, the pound steadily appreciated, even though Trump did not introduce any new trade tariffs.

5M Chart of GBP/USD

This image is no longer relevant

On the 5-minute timeframe, Friday's movement was mostly sideways and weak due to Good Friday celebrations. The total daily volatility was just 41 pips. Entering the market with such low activity didn't make much sense. Throughout the day, the price ignored the only key level in its path—1.3272.

Trading Strategy for Monday:

On the hourly timeframe, GBP/USD has long been in a position to begin a downtrend, but the market continues to focus solely on Trump, which is why the pound keeps slowly pushing higher. As a result, the pair's future movements still depend entirely on the U.S. president and his decisions and nothing else.

On Monday, GBP/USD may continue trading higher despite no valid reasons. Trump isn't rushing to impose new tariffs, UK inflation is falling, and the British economy remains weak. Nonetheless, traders seem uninterested in any of this for now.

On the 5-minute timeframe, you can currently trade based on the following levels: 1.2613, 1.2680–1.2685, 1.2723, 1.2791–1.2798, 1.2848–1.2860, 1.2913, 1.2980–1.2993, 1.3043, 1.3102–1.3107, 1.3145–1.3167, 1.3203, 1.3272, 1.3365, 1.3428–1.3440. No notable events are scheduled for Monday in the U.S. or the UK. Volatility is unlikely to be high today, but the pound may continue its upward movement.

Core Trading System Rules:

  1. Signal Strength: The shorter the time it takes for a signal to form (a rebound or breakout), the stronger the signal.
  2. False Signals: If two or more trades near a level result in false signals, subsequent signals from that level should be ignored.
  3. Flat Markets: In flat conditions, pairs may generate many false signals or none at all. It's better to stop trading at the first signs of a flat market.
  4. Trading Hours: Open trades between the start of the European session and the middle of the US session, then manually close all trades.
  5. MACD Signals: On the hourly timeframe, trade MACD signals only during periods of good volatility and a clear trend confirmed by trendlines or trend channels.
  6. Close Levels: If two levels are too close (5–20 pips apart), treat them as a support or resistance zone.
  7. Stop Loss: Set a Stop Loss to breakeven after the price moves 20 pips in the desired direction.

Key Chart Elements:

Support and Resistance Levels: These are target levels for opening or closing positions and can also serve as points for placing Take Profit orders.

Red Lines: Channels or trendlines indicating the current trend and the preferred direction for trading.

MACD Indicator (14,22,3): A histogram and signal line used as a supplementary source of trading signals.

Important Events and Reports: Found in the economic calendar, these can heavily influence price movements. Exercise caution or exit the market during their release to avoid sharp reversals.

Forex trading beginners should remember that not every trade will be profitable. Developing a clear strategy and practicing proper money management are essential for long-term trading success.

Paolo Greco,
Analytical expert of InstaForex
© 2007-2025
Select timeframe
5
min
15
min
30
min
1
hour
4
hours
1
day
1
week
Earn on cryptocurrency rate changes with InstaForex
Download MetaTrader 4 and open your first trade
  • Grand Choice
    Contest by
    InstaForex
    InstaForex always strives to help you
    fulfill your biggest dreams.
    JOIN CONTEST

Recommended Stories

GBP/USD: Trading Plan for the U.S. Session on June 11th (Review of Morning Trades)

In my morning forecast, I drew attention to the 1.3483 level and planned to make trading decisions based on it. Let's look at the 5-minute chart and analyze what happened

Miroslaw Bawulski 18:41 2025-06-11 UTC+2

EUR/USD: Trading Plan for the U.S. Session on June 11th (Review of Morning Trades)

In my morning forecast, I highlighted the 1.1425 level and planned to make entry decisions based on it. Let's look at the 5-minute chart and examine what happened. The price

Miroslaw Bawulski 18:38 2025-06-11 UTC+2

How to Trade the GBP/USD Pair on June 11? Simple Tips and Trade Analysis for Beginners

Analysis of Tuesday's Trades 1H Chart of GBP/USD On Tuesday, the GBP/USD pair traded with a downward bias, which was justified by a few factors. First, the pair consolidated below

Paolo Greco 06:10 2025-06-11 UTC+2

How to Trade the EUR/USD Pair on June 11? Simple Tips and Trade Analysis for Beginners

Analysis of Tuesday's Trades 1H Chart of EUR/USD On Tuesday, the EUR/USD currency pair again showed no intention of actively trading. Over the past three days, a sideways channel

Paolo Greco 06:10 2025-06-11 UTC+2

Trading Recommendations and Analysis for GBP/USD on June 11: The Pound Pauses Before a New Surge

The GBP/USD currency pair continued trading rather chaotically on Tuesday but with a bearish tone. The British pound at least slightly declined after the trend shifted downward. Recall that

Paolo Greco 03:31 2025-06-11 UTC+2

Trading Recommendations and Analysis for EUR/USD on June 11: Flat Movement at Highs

The EUR/USD currency pair continued to move in both directions throughout Tuesday. These movements indicate a flat market. Let us recall that earlier, the pair broke through the ascending trend

Paolo Greco 03:31 2025-06-11 UTC+2

GBP/USD: Trading Plan for the U.S. Session on June 10th (Review of Morning Trades)

In my morning forecast, I drew attention to the 1.3545 level and planned to base market entry decisions on it. Let's look at the 5-minute chart to see what happened

Miroslaw Bawulski 18:26 2025-06-10 UTC+2

EUR/USD: Trading Plan for the U.S. Session on June 10th (Review of Morning Trades)

In my morning forecast, I highlighted the level of 1.1388 and planned to make market entry decisions based on it. Let's take a look at the 5-minute chart

Miroslaw Bawulski 18:22 2025-06-10 UTC+2

How to Trade the GBP/USD Pair on June 10? Simple Tips and Trade Analysis for Beginners

Analysis of Monday's Trades 1H Chart of GBP/USD The GBP/USD pair also traded in both directions on Monday. On Friday, the price consolidated below the ascending trendline, formally changing

Paolo Greco 06:40 2025-06-10 UTC+2

How to Trade the EUR/USD Pair on June 10? Simple Tips and Trade Analysis for Beginners

Analysis of Monday's Trades 1H Chart of EUR/USD The EUR/USD currency pair traded with low volatility and in both directions on Monday. That day, the macroeconomic backdrop was practically absent

Paolo Greco 06:40 2025-06-10 UTC+2
Can't speak right now?
Ask your question in the chat.
Widget callback
 

Dear visitor,

Your IP address shows that you are currently located in the USA. If you are a resident of the United States, you are prohibited from using the services of InstaFintech Group including online trading, online transfers, deposit/withdrawal of funds, etc.

If you think you are seeing this message by mistake and your location is not the US, kindly proceed to the website. Otherwise, you must leave the website in order to comply with government restrictions.

Why does your IP address show your location as the USA?

  • - you are using a VPN provided by a hosting company based in the United States;
  • - your IP does not have proper WHOIS records;
  • - an error occurred in the WHOIS geolocation database.

Please confirm whether you are a US resident or not by clicking the relevant button below. If you choose the wrong option, being a US resident, you will not be able to open an account with InstaForex anyway.

We are sorry for any inconvenience caused by this message.