Small unrealized loss FX round-number entry GBPUSD 5-minute chart Currency strength edition February 2021

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I am Satori, a strategist researching FX and binary options.

This time, we will publish the 10 past chart examples of the Pound-Dollar 5-minute chart verification results.

The chart below shows the verification period on the Pound-Dollar 1-hour chart.

The light blue background indicates the verification points, spanning about two days.

Using the 5-minute chart, we present 10 entries and exits made at round numbers and support/resistance lines.

The profit-taking width, considering a spread of 2 pips, is as follows in pips.

+25+15+18+18+28+18+18+18+18+18=194 pips

Round numbers are used as #00, #80, #50, #30 for 1.4000, 1.3980, 1.3950, 1.3930, respectively.

Entries with small unrealized losses are considered to be efficient in capital because they can be closed quickly.

Profit targets are set at about 15 to 25 pips.

The theme of the verification is currency strength and weakness.

For beginners, market context recognition is not performed at entry; it will be evaluated in post-analysis.

For reference, the Ichimoku Cloud is displayed.

The main chart lines in the diagram above are described as follows.

From the top.

R2 (pink dashed line) Resistance 2

PreDH (red solid line) Previous day high

R1 (pink dotted line) Resistance 1

PV (green solid line) PIVOT POINT

PreDL (blue solid line) Previous day low

S1 (green dotted line) Support 1

S2 (green dashed line) Support 2

The blue horizontal lines are the round numbers: #00, #80, #50, #30.

The background color of the sub-chart indicates the trend from M1 to W1.

Blue: 5 EMA > 21 EMA and both are rising

Green: 5 EMA > 21 EMA and 5 EMA is falling

Orange: 5 EMA < 21 EMA and 5 EMA is rising

Red: 5 EMA < 21 EMA and both are falling

These trends are not considered at entry; they will be checked during the verification.

The bottom sub-chart allocates the theme of currency strength and weakness for this study.

In the indicators, when the red GBP and green GBP strengths form an angle with both sides open or closed, arrows are displayed.

Currency strength is not considered at entry; it will be checked during the verification.

Now, let’s begin with the first entry.

The figure below shows the first entry on the GBPUSD 5-minute chart.