Taking Profit on GBPJPY Before the Sell Off

Taking Profit on GBPJPY Before the Sell Off

We closed out a forex trade to begin the month of July taking profit on GBPJPY before the sell off.

With the FTSE and those markets in Europe heading lower, many markets had been fearful of the ongoing trade standoff between the US and China, so had been selling massively with concerns the imposed tariffs could have the potential to impact economic growth.

We knew buyers could have the strength previous in the market to take price up, the UK Manufacturing PMI data which is  a leading indicator of economic health came out with good results at a positive 54.4  hence our long position, however as concerns had been growing, sellers were coming in to the market taking profits, we decided on taking profit also due to the impact the sellers were having on price and could eliminate a profitable position.

A £176.80 is a good amount of profit considering it could all be lost and go in to the negative should sellers stay in the market.

Taking Profit

(Our trading and image was done using an account with UK based broker IG)

*Please Note, Forex and other forms of trading carry a high level of risk to your capital as you could lose all of your investment. These products may not be suitable for every investor, therefore ensure you understand the risks and seek independent advice. Invest only what you can afford to lose. We are NOT financial advisers and we do NOT offer financial advice. 


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