Pick of the Day: GBP/USD

Tomorrow morning we will see the US Gross Domestic Product quarterly report and GDP deflator released at 8:30 am EST. These are the economy’s broadest measure of health and inflation, and they have significant market moving potential if we see surprise numbers. Also, at 9:45 am EST, US consumer confidence report will be released. So, there’s a lot of potential to see strong moves in tomorrow’s market and hopefully if we see some volatility we can catch some pips in GBP/USD. I used the Fibonacci extensions to draw out possible entry points if we do see a breakout trade:

Long GBP/USD at 1.8655, stop at 1.8635, pt1 at 1.8675, pt2 at 1.8700

Short GBP/USD at 1.8535, stop at 1.8555, pt1 at 1.8505, pt2 at 1.8460