Cable: Loading up on long position
Got a bit lucky in picking the bottom near 1.2750 and now that we are playing with bank money, we can afford to take on somewhat bigger risk.
I expect GBP to outperform the other majors in coming weeks with the other ‘sterling’ instrument, Silver, also likely to outperform significantly.
On the crosses I still like GBP/NZD a lot but I am concentrating my efforts on cable, and I feel that we could even see levels close to 1.40 over the next 6-8 weeks.
I expect intraday dips to be well supported around 1.2950 and if it starts to rally, I will try and stay patient until my targets are reached.