As you all know I’m very bullish on cable and have been for some time but I’m also a realist and I’m well aware that there is no such thing as a straight-line move in the FX market. With USD/JPY staying stubbornly bullish and with the USD also looking quite strong against the AUD and the CAD, I’m pretty sure that cable will not explode higher vertically.
I will sell out of 2/3 of my long position at 1.6410 in the hope/expectation that we see a dip back towards 1.6100 before the bull train really takes off.