Cable Update (GBPUSD)

Wait for the GDP AT 4:30 if it come out as expexted then cable will may drop to 9825 at least. if over: may go up to the 90

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Trade the news trade at your own risk. If it turn into the direction you expected it to be, well I'm happy for you! some news a worth it and some are not! Good luck! http://www.forexfactory.com/images/icons/icon14.gif

Pubs open here in 15 mins.......who's coming? my ass is numb already!

GDP unchanged ... what will happen next? cable seems fluctuate slowly now

UK GDP 2nd cut - everything pretty much in line. We note though that the GDP deflator at 3.2% sticks out - highest since 2003. So will keep the BoE on watch for sustained inflation lvls.

Cable struggling and can not reach the 9870 ....
By watching the Chart, we can see clearly that the trend is going down, the next point may be 98,25 ??
watch the existing home sale this morning it may come out over expectation as of the new home sale yesterday.
what do think guys?

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looking for a drop to 9750-9800 where i will long with stop based on price action.

Article by Paul Rodriguez (unabridged).

With low volatility in both stock and currency markets, the main thing driving FX markets is the difference in interest rates between countries, or 'yield spreads'. Economies with high nominal interest rates and solid growth, such as Australia, have seen their currencies appreciate strongly. But markets remain worried about inflation, with rising commodity prices and emerging and emerging market demand threatening to drive prices higher across the globe.

The US Dollar
The US economy has been hit by a stalling housing market and the fear that this could hit the consumer. As pessimism built up earlier this year, the market priced in the risk of sharp interest-rate cuts, prompting a broad-based US dollar weakness. The sell-off became overdone and so a rebound was inevitable. But even so, the dollar's longer-term prospects look weak and a return to $2.00 and above against sterling is certainly possible.
Those who disagree cite the rising US stock market as an indication of a healthy economy. But stockmarkets can also rise during inflationary periods until they reach a tipping point, which could mean the equity market surge is in fact just a speculative bubble.
The acid test is the US market's ability to absorb higher interest rates. But although higher rates may be the medecine the US economy needs, the risk of making the fragile housing market worse makes this a difficult decision for the Federal Resrerve to make. If you believe the US economy is stronger than most believe, there is upside potential for the dollar. From a technical perspective, $1.96 represents a good support for sterling against the US dollar and a break below that would see the dollar bears running for cover. But I believe that after some consolidation, the US currency will resume its downward trend.

The Japanese yen
Much has been made of the weakness of the dollar, mainly because it hit the key $2.00 mark against sterling. But the Japanese yen has actually been losing ground, even to the falling greenback. The ability to borrow 'cheaply' in yen has seen both domestic and international investors sell the currency to invest in higher-yielding investments overseas. This is risky, as the currency markets can turn rapidly, but with volatility low, investors are unconcerned. Meanwhile Japan's economy has been under-performing, so even the prospect of modest tightening in the next six months is unlikely to see a reversal in the Yen's fortunes. Even against a weak dollar, the yen looks set to slide towards 125, against a bullish sterling, multi year highs over 245 look likely.

The euro
Solid economic growth and tighter monetary policy have seen the euro advance strongly - beyond what could be considered 'fair value'. the euro/US dollar is the most liquid currency pair, making it ideal for intra-day and short-term trading.
In the short term, EUR/USD has momentum for a move towards $1.3300 as the dollar rebounds, but the potential for longer-term dollar weakness should then come to bear. Over the coming months a return to $1.36 and beyond is possible; only a two-week close below technical support support of $1.3250 would indicate a change in trend. The euro may be a better buy against the yen with targets towards 170. Only a two-week close below 160 would indicate a change in trend on this.

The pound sterling
The need for higher interest rates to cool a dizzy UK housing market has helped sterling and explains the recent test of $2.01 against the dollar. But can the situation continue? It is likely that the UK housing market is a bubble and the delayed impact of rising rates could bite at any moment. Sterling has started to wobble and $1.96 beckons against the dollar. If this gains momentum, sterling could be pressured back towards $1.90.
However, $1.96 is a key technical barrier, and the US economy may be at even more risk. So a resumption of the trend towards $2.00 and up seems more likely.

Is anyone long cable this morning?

I was and will be again pretty soon...

I still stuck with long since yesterday ...

Short from 1.9876... looking for target @ 1.9770 but could go to 1.9710

I am short too.. targetting 1.9800 then 1.9770.

Good Day

Could anyone help me to Find dollar index chart and could i add it to meta trader or any demo software include it .... i know ... this is not the place for this question ... but i think here a lot of experts may could help me

http://futures.tradingcharts.com/chart/US

or

http://www.freecotcharts.com/charts/DX.htm

Panther

and i'm the queen of england.

I believe we need a break below .9830 before we can be sure of a bear move toward .9800 and lower.

http://quote2.fxtrek.com/misc/fxcm2.asp

then choose usd index. i believe it's live.

yap.