Cable thoughts

[Alex-the-Gr8]

This currency has been overbought forever - I'm actually looking for a major correction. I do love fish and chips and Bass Ale - but this rampant speculation, with europe's weakest economy makes no sense. GBP, come on down - you're the next contestant on "The Price is Wrong!"

The Pound weakened across the board and was the only major currency that did not join the rally against the Dollar. The Sterling failed to hold gains after peaking up and shortly plunged to the lower levels following the release of the UK Industrial Production that showed a non-expected decline in August to the lowest level in 17 years, adding to speculation the economic recovery in Britain will reduce. Overall, GBP/USD traded with a low of 1.5875 and with a high of 1.6048.

[ForexGuy]

GBP is actually sitting at a 127 extension on the daily chart, but a gartley pattern has formed up on the 4 hour chart right along that 127 extension.

I wouldn't want to be long until that gartley has a chance to complete at around
157.13. For me there is far to much conflicting technically to consider a trade here.



Here is what I'm looking at right now.

[Alex-the-Gr8]

The economic stimulus package props up this currency - is it real or has the GBP continues on it's improbable run vs. the USD? Does the run have legs or not? I've been bearish on the GBP for quite some time - and like a wine that comes with a screwtop, have a bad taste in my mouth.

The Pound joined other majors and rose against the Dollar after the BOE kept the interest rate at its current 0.5% rate and decided to keep spending the remainder of its 175 billion-pound bond- purchase program. Overall, GBP/USD traded with a low of 1.5947 and with a high of 1.6120. Today, PPI Input is expected at -0.9% vs. 2.2% prior, Trade Balance is expected at -6.3B vs. -6.5B prior.

[djdorey]

Do you think it would go south now?

[tomo1]

well u could include the jpy

[djdorey]

I made a few hundred pips today..... best trade day ever!:cool: