Cable Update (GBPUSD)

The people who defend the rules about insider trading, from Nancy Pelosi to ??? (put any name you want here) are the biggest crooks on the planet when it comes to breaking the rules!
Well in Nancy's case she doesn't control what her husband does!

RSI is at its most oversold since 2009 and while this is not a timing indicator, it does highlight the danger of selling at this point below the 1.1000 level, which may lead to a bit of stall or bounce in the matter.

USD could see a wee drop to Resistance, turned support around 111XX next week.

rules

* An exceptional day, and trading day, and an exceptional week, and trading week too, particularly the last 3 days. From a trader's perspective, the nirvana of volatility combined with momentum, and trend. Doesn't get any better than this.
* Today the market was ' pushing on an open door ' re an already bearish £ market, and it gave an emphatic response to the Uk's Truss/Kwarteng effective ' trickledown ' economic growth plan. As far as responses go, it was not a good one. This response after the reaction to the Uk PMI's today has seen the biggest 1-day fall this year, and for quite some time, (ie: since 18th March 2020,) and the biggest 1-week fall since w/c 6th Sept 2020.
* Almost needless to say but a > 13wk awr week @ 229%, and a > 30day adr day @ a staggering 361%. The mth so far is @ 151% of 6mth adr. A week with the unusual occurrence of price exceeding Wkly S3.
* The post covid lo of 1.1410 seems but a distant memory now!

Mthly Of course the mthly candle has not closed yet but just a word about it; In the last few trading days of the week, commencing Monday next week, the £ bulls will have to work very hard to turn this mthly candle anything like bullish, in and of itself. The t/f is in a downtrend. This t/f's osc's are in extreme o/s territory.
Wkly This t/f has this week seen a decisive downside breach of it's lower falling wedge channel, that pattern now invalid after the 1404-1738 bounce from it. The close of this week's candle will result in a 10th consecutive LH on this t/f in it's classic downtrend. There is a repeating pattern of regular bullish div in it's osc's at the wkly lo but this could quickly disappear with any more downside - the measurement is very close osc valley- osc valley. The wkly candle closes as a bearish thrust candle.
Dly This t/f is in a classic part of an overall general downtrend The Dly candle today closes as a bearish thrust candle.
4Hr This t/f (like the 1hr below it) is in a general downtrend. It's oscillators are in extreme o/s territory. It's last candle closes bearishly and the whole candle closes outside of it's 20bol, but it is not a classic ' reversal ' candle. Other than fibs and calculated pivots, 1210 is where the 1st prev sw lo begins on this t/f = prev supp = potential sbr.

NB: 3 candle fractal swing analysis used for gauging chart conditions - ie trend or range

Mthly, Wkly, Dly, and 4Hr below

hedge do we think . I am leaving the buys on let’s see if the rule to short comes into play

I'm toally astonished with huge green pips and float loss today, I try my best to be calm down and be rational to make my crisis strategy in advance. This is truely a crazy day for me!

... I am surprised to read some of the comments today. Remember THE MARKET IS NEVER WRONG. It's action today is what it is, and can only be viewed as a big negative response to the Uk ' mini budget. ' In that sense it is entirely rational and logical because that budget, (a misnomer if ever there was one,) signaled a total sea-change to an economic orthodoxy that has been with us for some time here in the Uk. Some are comparing it to the 1972 budget under a then Conservative govt (Heath PM,) and we all know how that ended lol! But whatever the case and however things pan out as a result of it, the market recognized that it heralds a generational and profound shift in thinking in Uk politics/economics, and hence the reaction was big. It's as easy as that. As traders (not necessarily consumers,) we should be thankful for it, and for the downtrend that it is part of in this pairing, that has produced so many great trading opportunities, if you did but recognize them.

If anyone has lost money in this market, it is their fault not the market's.

this is how Daily chart looks like now

Wavegarrick, Thanks for the file!
I needed a couple of good days.

400 pips one day… who said cable is boring

This is a great place to buy

Lol. If you were in at about 1.3200 long, and you are 9k down then by my calculations your margin could sustain another 1200/1300 pip drop before you get a margin call....that would take us down to circa 0.9600. No good looking back, and only you will know your tolerances, but I wonder if it is probably worth holding the trade open (in the position you find yourself in,) and hope for a sizable pullback to at least help to reduce the size of the floating loss, and maybe realise a reduced actual loss by closing out? Whatever you do though, don't be passive, take control of the situation - have a plan and stick to it based on your tolerances. Ie I am prepared to lose x maximum (if it continues to go down,) -or- I am prepared to cut my losses at y (it it pulls back in a meaningful way.) I think waiting to achieve 1.3200 entry price again may take a long time. but you may decide it's worth hanging in for it. It is the opportunity cost of what else you could do/achieve with that remaining margin without having it tied up in this way, that you really should consider.

Good Luck whatever you decide.

I am right again !! I know thanks

Despite for the fact that the market has kept falling, some people keep saying buy, buy, buy.
Don't know why ¯\_(ツ)_/¯

A very unusual failure right there, to break both end's on a weekly is rare
then it opened & fell over 600, that support is gone

That was a BRUTAL collapse on Sterling today, wow. I was shocked and thought the website I was viewing must have been mistaken. Growth plan expected to fuel inflation. Sunday this will be clarified before the open and I'm certain GBP will rise

[quote=Temujin;14150603]{quote} That was a BRUTAL collapse on Sterling today, wow. I was shocked and thought the website I was viewing must have been mistaken. Growth plan expected to fuel inflation. This weekend the issue be clarified before the open Sunday.
GBP will surely surge this next week.

That was a BRUTAL collapse on Sterling today, wow. I was shocked and thought the website I was viewing must have been mistaken. Growth plan expected to fuel inflation. This weekend the issue be clarified before the open Sunday. GBP will surely surge this next week.[/quote]

[quote=Temujin;14150605]That was a BRUTAL collapse on Sterling today, wow. I was shocked and thought the website I was viewing must have been mistaken. Growth plan expected to fuel inflation. This weekend the issue be clarified before the open Sunday. GBP will surely surge this next week.