Cable Update (GBPUSD)

Ldn FX: Sterling In Freefall As Global Recession Fears Bite Oct 24 / 06:22


LONDON, October 24 (MNI) - Sterling went into freefall on Friday as
risk aversion and tumbling stocks caused carnage in the currency
markets.
Cable had hit Asian highs at $1.6290, opening in Europe around
$1.6008 and soon dropped under $1.6000. Liquidity was appalling as
the rate tumbled lower, taking out big figures with ease.
Weak UK GDP data added to the heavy tone, adding to global
recessionary fears, with sterling-yen losing 10-big figures on the
morning to trade under Y140.00, euro-sterling hitting a fresh lifetime
high at stg0.8195 and cable losing 730 points on the session, the
largest one-day fall in 37-years, according to traders.
STERLING SUMMARY: Opened early Europe at $1.6008, stg0.7970
--A huge sell-off in sterling-yen pulled cable lower in overnight
dealing after the rate had closed in NY around $1.6220. Cable tumbled
back to take out Thursday's lows at $1.6043, finding an
initial base at $1.6027 towards the end of the session. Sterling
continued to trade heavy versus the euro in a stg0.7952/89 range.
--Sterling was under renewed pressure into European dealing, soon taking
out the overnight low, with traders once again reporting an extreme
lack of liquidity. The move gathered momentum on the break of $1.6000,
with the rate falling to a $1.58 handle initially. There was little
respite as European stocks opened up deep in negative territory.
Sterling-yen went into freefall, tumbling under Y150.00, pulling cable
down to $1.5660 ahead of the UK GDP data. This came in much weaker
than forecast, adding to the heavy tone. With sterling-yen tumbling to
eventual lows at Y139.12, 20-big figures away from the Asian high,
cable plummeted, taking out big-figures with ease down to $1.5270, a
six-year low.

UK DATA: Q3 Preliminary GDP -0.5% q/q; +0.3% y/y; median -0.2%;0.6%
------------------------------------------------------------------------
GDP growth fell 0.5% q/q in Q3, below the median forecast, and the
first fall since Q2 1992. It was the largest decline since Q4 1990.
Services had the largest downward impact on growth, falling 0.4% q/q,
knocking 0.3% off q/q growth. Production fell 1% q/q, knocking 0.2%
off growth. Within services the largest downward impact was surprisingly
not from business services and finance - which accounted for 0.1pp of
the fall in quarterly GDP. Distribution, hotels and catering output was
down 1.7% q/q, hitting GDP 0.3pp. NS said this was mainly due to motor
trades and wholesale services. Elsewhere construction was down 0.8% m/m
while agriculture was up 0.5%. Overall this shows output in the economy
declining by even more than expected and is likely to boost expectations
that the BOE will cut rates by 50bps at the Nov meeting, if not by
more.
BOE: BOE Sentance: Risks Of Severe Recession Have Increased
-- Need To Factor Negative Econ. Into Policy Making
-- Econ. Data Shows Negative Econ. Forces Rising
-- Hopefully Can Avoid Deep, Severe Recession
-- BOE Sentance: Global Econ. Has Weakened In Last Few Months
-- Construction, Property Sectors Are Weakest

we are living history ppl

1061 pips range on cable BE AFRAID BE VERY AFRAID LOL

I haven't burn my account. It is burning because of the profits

This movements are once in a lifetime, don't use your logic "this is impossible, must rebound somewhere". Just follow the flow, and becareful with retracements.

Yes, but i want part of that NUTS! I need to take it slower, but the market is not giving me a chance - LOL

There it goes again.
100 pis in 5 seconds.
Will we see 1.4XXX soon ?

hi guys

many of the fresh traders send me posts that they suffered a lot of losses while they was try to catch a retrace may happen or not.

but i posted from time ago to warn you guys about the tricks used in threads to let the newbies (majority) take another direction against (minority), this move we call it (news)


and to be clear to you
all the buyers and the sellers are here in those threads and you know the forex basic rule
only 20% win and the other 80% loss
so try to figure it out by your mind

if you find most posts talk about retrace that will may happen you will find the price is going down, and if you find most posts talk about the continuation of down trend you will find price is going up .

and make it obvious to you about the trend guys.

from the day i start to post in euro+cable a 2000 pip drop
and still the trend is down.

and i still predict more bearish activity coming .


and here my red arrows describe my future levels for today and the coming weeks.

trade well.

me too!! There now that I've said it can I also say I told you so..

Surfs up dudes...

sweet I slept through every pip of that move.. poooooooooop

LOL

How big a problem is 'disinformation' in the forex world, is it rare or a major contributor to people losing in the forex market?

Switching the charts to 1M ... that look more normal that way

this is why i also got my 1min open, candle value same as used to be on 15min and 1H.

The 1 min chart is working well with Bollinger Bands (default settings) at the moment.

great tip, thanks!

...you know how many times news has led me to make wrong moves, to many to count. I don't even read my news feed anymore....

Good morning everyone! All I have to say is OMFG! What the hell happend? It appears she's been flushed! I missed everyone of the moves. I went to take a 30 min break and fell asleep and woke up to this! That's one hell of a move. I hope everyone made a shitload of money. I missed it all. I'm only up 97 pips from my short earlier in the Asian Session. Wish I would have kept that one open. Oh well, there will be plenty more to make. I'm not sure how much I'll trade today. We'll see how she looks. I'm only looking for perfect setups today. My week has been good and I don't need to trade anymore.

Good luck to everyone and their positions!

Me to bro. I missed it all, went to bed, but it's TIME for a reatrace I think. She has already crossed the 10 SMA and now I think she may make a move toward 15min 35 SMA at around 1.5750

correct me if i am wrong, no positions now, just watching!

You got that right. My ass fell asleep after I got something to eat and missed it all. Oh well! There's always more to be made. I hope you got to ride her for all she was worth!

That's why I have alarms set at 1:15 and 2:00am (west coast time). I can check the trades and if nothing happens go back to sleep, fortunately, I caught his mornings drop about mid way for a rather large gain, about 500 pips with two seperate trades). I lost a couple hours of sleep before going to work, but well worth it, will catch up tonight.

I think we need wake up pills to stay awake all week and sleep at weekends to catch all these good moves

I've made enough for the week so think i will stop, but i had set a sell last night at 6269 area and closed it for +35 cos it was late and I was falling asleep. wish I would have kept that b**ch open

\are you starting a thread of trades or just keep posting them? Please do either as they've helped me loads.

wow, i recently wake up, what can i say, that was fast!
i told you before, about the cross of the montlhy HH-LL channel formed around 1.7380-1.7170, once is firmly crossed, give fast 1500 or more pips (it did everytime with the same speed)... this time was 1800 pips with almost no retracement!!!

sadly, i burn my little account in the spike with my short EU GU positions for just 2 pips!!... i must to say thank you FXCM Micro for your fuc**** variable spread.... (of course i use a kamikaze MM, but i must to use it with fixed not variable!!!)

May somebody recommend me a serious mt4-micro broker with CC fund??? I will appreciate...