Cable Update (GBPUSD)

Hey guys, I'll be the first to admit, I don't know anything about fundamentals... but I was thinking, perhaps this huge move downward is in anticipation of the rate cut... I mean I've heard before that fundamental news is already priced in before it happens a lot of times...

Well, who knows? I may just be an idiot... What a strange run we've had this week, just straight down.

G10

Monthly support level is about gone. After 9183 it should be like falling off of a cliff.

it's Like A Big Toilet Ready To Flush!!!

The greenback’s strength was more down to the weakness on other major currencies amid fears of a prolonged economic downturn.
We are seeing a shift away from a focus on the US to a more global problem. The dollar is getting a boost by default.

cable is crazy .... what's going on ???
no news and yet this thing is falling like a rock ...

it seems no light in the end of the "long" tunnel ...

they are selling like there's no tomorrow ... already 223 range ...

New York open will down more ????

just go with the flow! seems losing ur opinion is more profitable way to trade. It seems the end of the world has already been priced into the dollar, since the US is not fully bankrupt yet, the markets are pricing in weakness around the globe, especially in EU and UK. Crude led the way down, dollar playing catch up now...

Ldn FX: Cable Tracks Euro-Dlr Slippage On ECB Growth Concerns Aug 08 / 06:11


LONDON, August 8 (MNI) - Continued dollar demand, prompted by the
concerns on euro zone growth expressed by European Central Bank
President Jean-Claude Trichet Thursday, saw cable track further
euro-dollar slippage, while euro-sterling consolidated overnight losses
after this rate pushed down to lows of stg0.7850 in Asia.

STERLING SUMMARY: Opened early Europe at $1.9304, stg0.7888
-- Cable closed in NY Thursday at $1.9440, off session lows of $1.9420.
Early demand for dollars in Asia from macro funds, real money and
models eased rate back to the NY low, with momentum boosted as
euro-dollar broke support at $1.5280. Break of $1.9400, then $1.9360
provided added weight to take it on to year's lows at $1.9335. System
accounts and break-out traders piled in on the break here, sales
taking it to lows of $1.9270/68. Rate recovered, in line with
euro-dollar, edging above the figure, with trade into early European
dealing contained within $1.9290/1.9325. Renewed sales of euro-dollar
eventually took cable through the overnight low, trading to $1.9225
in late morning trade after stops were triggered below $1.9240, while
euro-sterling held steady around stg0.7860 (stops below stg0.7840).
-- Cable bids $1.9210/00, $1.9185/80, $1.9150. Offers $1.9250/60
-- Euro-sterling bids stg0.7850, stg0.7830. Offers stg0.7890/00.

UK: News released in the UK Friday,
* RBS reported a pre tax loss of stg691mln after taking writedowns of
stg5.9bln.

UKata released in the UK Friday,
* CML; UK H1 mortgage arrears rate rises to 1.3% vs 1.1% end 2007
- UK H1 mortgage possessions +47.7% from H1 2007, +41% vs H2 2007
* Sales at John Lewis UK department stores rose by 3.7% in the week to
July 26 compared with the comparable week a year earlier, the John
Lewis Partnership announced Friday. Total partnership sales in the
same week were higher by 3.3% year-on-year on the comparable week in
2007-08 trading year, Lewis stated. Meanwhile, total sales at
the Waitrose food chain rose 3.0% in the week. The group said the
start of the school holidays across the country helped boost sales.

Pay respect to my 2 months demo account. Bye..bye honey...
Rest in peace..

global economics nothing more

Let him rest in peace

To me this is just a desperatly need correction from 2005. And it hasnt even rached 50 % yet. I got news for you guys, this thing is going to 9000, AT LEAST!

FYI

Wow. is it posible to see 1.8 today

could well see profit taking ahead of 50% retracement of last major up move near 1.9110 area...

Actually there was plenty of news yesterday......the BOE held its rates as did the ECB....however, Ms. Trichet - the President of the ECB - finally admitted that things in Europe were not too good and that the expected rate RISE was now unlikely.

That caused a Sell Off in the Euro and the GBP and a rise in the Dollar against them and the Swiss Franc.

As is usual with large fast moves, they can be expected to over do the move before having a retracement and finally settling into a new range until the next unexpected news.

Here's the weekly chart

I agree, However, by the way this thing is taking out Daily levels, 1.9000 will not surprise me. If we do retrace, I see it coming in the later morning hours toward noon EST.

yep some confimation needed for bottom, either shift in sentiment or chart, only looking to cover short not buy anyway, tempted to let run, assess on weekly close, nothing surprises me anymore, the market is what it is....

CAD news at 7 is slated heavy for the Canadian side. Maybe it can help jump start the move back.

now i know what u mean when u say ...just action yur thoughts and stick to it....i got screwed cause of retrace..welldone bro on yur short..

We are at a level that I consider particularly strong since there were only 2 hits each time. I other words, it didn't hang around at this level the last 2 times it was here. We may turn here, FX.

Jim