Looking at the Cable

Good Morning Dynamic Traders,

I hope you had a fantastic weekend, and here’s looking forward to an “Outstanding” week ahead. Time to “Step Up” and make some money.

I have decided to have a look at the GBPUSD today, as this chart is currently on my watch list. If you have been keeping up to date with the all the blogs, you should be familiar with the recent progress of the cable from Sonia’s update last week on the fxcps.com website.

In the day chart below you will see that I have marked in the breather level that Sonia had mentioned in her update. In addition to this I have also marked in a trend line that price has been using as support along with the major support line at the psychological RN.
With the trend being down a shorting position is definitely more favourable so how would you trade this?
As always this is very much dependant on what kind of trader you are (Aggressive or Conservative).













Personally my approach would be conservative, because of the proximity of the round number. Once price breaks below this psychological RN support line I would then workout my entry level, using the rules from my trading plan.

How would you look at trading this?

Carpe Diem

Richard Monnery