Fundamentals + sentiment + order levels rationale

Expecting bad services PMI from UK, most important component:

However this confluence did not hold yesterday on USD JPY

Michael Hewson @mhewson_CMC
Sterling short positions at record levels - overlay $GBPUSD chart in historical context #forex pic.twitter.com/e71GSg78l1

BOE day

Cable is most shorted in history.
This is how hunting stops looks like:

Or again the text of the statement was leaked as it is a tradition with UK.

And one can explain also in this way (crowded trade and everything priced in):



After the fact: stop hunting.

Cable long, since no strong reaction to 1h level. Against fundamentals.



Let's see who is stronger here - bulls or bears.

Now we see reaction, so the level will hold. We go short with fundamentals.

On all other levels there is clarity. Only when I trade a level there is a mess and no clarity

And now bulls again charging and clarity is lost.

Only my broker is happy from the penny commissions. I am reversing again long against fundamentals. I am crazy but flexible.
Maybe we can reach 1.32 and see what will happen there.

EURUSD short triggered from the 1h level. Let's see how clear bounce this will be.



We should see move lower + followup lower to stay short.

And then this
Michael Hewson @mhewson_CMC
*BROADBENT SAYS HE'S IN MPC MAJORITY SEEING ANOTHER BOE RATE CUT

We will see if this will pressure cable.

BoE’s Broadbent: Didn’t Have Large Debate On Lower Bound
-MPC Opinions On Lower Bound Didn’t Really Vary - RTRS

So they will not go into negative rates. It should be good for cable.

This is not a bounce we should look for. Exit. And no point entering long half hour before NFP.

Overall good NFP. +68 pips on EUR USD and +62 pips on cable.

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1. Cable

Daily trend: down/range
Sentiment: down
Fundamentals: down

Preferably we are looking at shorting direction.

2. EUR USD

Daily trend: range
Sentiment: down
Fundamentals: down

Preferably we are looking at shorting direction.