Cable Update (GBPUSD)

You can't be serious.

Its in trend lines. If it breaks 1.95, then I'm short.

After GBPUSD's pathetic performance yesterday, will the deadly duo put on a Friday special to end the week in style?

At 6.50am London time, the pair hovers between the 61.8 and 50 fibs drawn from yesterday's low to its high. It's been flirting with the 60ema on the 30min chart overnight and holding below the upper trend line.

It's no secret that if 1.95 is broken, we might see some good downward movement, but with no guarantees in this business, a break above the upper trendline and 60ema could point to a rise. We need convincing breaks ...not just spike-throughs (let's not get fooled).

As with anything, it's important that we don't fall foul to the old idiom; "can't see the forest for the trees", so let's step back and look at the big picture and check out the lay of the land.

If we look at the weekly chart, there is nothing but a big red bear stamping it's paws all over it. On the daily, other than a few indecisive Doji's, the only good performance this week was by the bears on Wednesday. Let's not forget that we're already below last week's low and last month's low. Next would need to be yesterday's close, open, then low.

Below is an old chart I posted on 30 April, but I still think it contains the right ingredients for a bear's feast. If you look at the big picture, the bears have enjoyed a big feed this month whilst the bulls have been picking up the scraps.

I smell a bear, but I need to see him in action first.

Rob

I have tried to tell you all that it was a very distinct possibility that this was going short.

Looks like the southbound train left without me !

Lets see what happens and if we can get entry points on some retracement

argh.... IToo bad I chickened out and closed half of my GBP shorts with -10 pips on the euro rally.
Still, pocketed the rest at 1.9518
I expect a small bounce to add more shorts

1.9539 is the daily central, so shorting around 1.9530 if it gets there

Jim,

You tried to tell and you did tell the folk here.

You can lead a horse to water but ...

Im a newb but I was ready this time! wow!

Jim,

I think we have, more or less, the same sort of eyes

Yea, when your looking at the 5,15 and 4 Hr, the 4 hr is boss, however, when your looking at the 4 Hr and the Daily, the Daily is definatly the boss.

Jim

got schooled real good last night..

But lets see if we can break 9500 now

It still could bounce here at 9500, but eventually it should break below it unless news weakens the dollar or strengthens the GBP

The dollar is weak, we are in so much debt.

Dollar is getting stroger of late

Let's see if I'm right.. I closed 2 short mini lots out at +47 pips and I have one standard lot long at 1.9505. Stop loss at 1.9480.

Yeah, but look at front page of FF, and compare our trade balance to Canada, that's gonna come out today.

Short @ 19566 and 19531.

Sneaky bounce from 19495, if it goes below how far down..?

19361 or 19336 are possible..

Long 1.9495 & 1.9527!! 4 bounce on 1.9500

Going long again....... My order was hit at 1.9511.... Lets see. Happy trading guys
Just my 2 cents...... I think we heading down, but I'm waiting for the retracement up to 1.9700 level.