We’re talkin’ about the pound today, yo! See if you can make pips from Cable’s retracement or GBP/NZD’s range play!
Whattup, dollar traders? Are you seeing this consolidation around the 1.2500 major psychological handle?
As you can see, 1.2500 also lines up with the 100 SMA and is around the 38.2% Fibonacci retracement on the daily chart. What’s more, 1.2500 was also a support level back in December and in July!
I’m not seeing any bearish pressure yet, so y’all might want to hold off from shorting the pound just yet.
While you’re still drafting your trading plans, consider that GBP/USD’s 2019 lows are around the 1.2000 major handle and that the pair probably won’t see sustained rally until it clears the 61.8% Fib close to the 200 SMA.
So, you planning on trading this one? Don’t be shy to share your trading plan if you’ve already cooked one up!
Resistance alert! GBP/NZD just hit the .9700 area, which is right smack at a range resistance that has been keeping bears in check since 2017.
Shorting at current levels would give you an epic reward-to-risk ratio especially if GBP/NZD ends up dropping to the 1.9100 mid-range level or the 1.8400 range support area.
Feel like betting on an upside breakout for the pound instead? That’s aight, you can also wait until the pair makes a clean break above the 1.9700 MaPs and execute your best breakout plays from there.
Whichever bias you’re trading, make sure you bring your best risk management game!