FXWW News/GBP crosses/Technical Analysis/Trade Ideas

Cable: Entering a bullish technical phase

The double-bottom on the 4-hour (see chart) was followed by a very strong rally to 1.5750 and this move is currently retracing. The 61.8% retracement of this entire 1.5010/1.5750 move comes in near 1.5290 and if the technical set-up is to remain strong then these types of levels should hold.

I’m building a long-term strategic position here and have added this morning at 1.5315, with further bids at 1.5290. I’m still keeping positions fairly small as my stop-loss level is a long way away, but if the technicals hold then I will sharply increase my position and of course raise the stop.

  1. Morning Sean.
    Lets hope it holds as im long since 154ish.of course I now know that I got in at the wrong levels.a little concern was the drop of gdp in the US.cable rallied but it was short lived and quickly went down another 50 pips.this thing does not seem to want to go up.

  2. Mkt knew that US corps wud be selling cable for end-of-month as well as Buba buying EUR/GBP, so was happy to drive GBP lower in anticipation of this. Now that out of way, Id expect the GBP to rise a bit. But, cable probably will trade 15250/70 on base and 15500ish on top on think this is what we shud prepare for.

    1. Good evening Sean,

      Welcome on aboard cable flight 😉 . I attempted to add yesterday (second unit) but I have been stopped out under 1.5340. Let’s see what happen near 1.5270/1.5250.

  3. Good morning Sean, cable touch 100dma. I am waiting for a up daily candle, then, buy it. Otherwise, waiting for a bounce at 1.5165 or 1.5085 (channel bottom). If no bounce, go to sell. Carney come into BoE. Don’t know his policy.

    swiss, u-chf seem quite bullish on daily. H4 may see a pullback, buy 0.9315 — 0.9280. I am ready to buy, to run 0.98 or 0.99 ? then, need 2 weekly bars close above 1.0115 for a running to 1.1585. after european summer ?

  4. Txs Papillon, yes sry didn’t reply to email was swamped with admin and site stuff. Yeah yu were slightly early with the add-on, remember don’t be in any rush to add as you are long already, even though only small.

  5. in the beginning of position building, only add when you can use wide stops, but as always there are exceptions. If yu think the mkt is about to scream higher then of course you buy with tight stop; then what yu did last night is perfectly fine

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