I have noted that there has been a turn around in sentiment on Cable in the past 24 hours. The weak daily candle yesterday has been followed by selling pressure today. The lower than expected UK CPI will also add to downside pressure. I have used an intraday bounce as a chance to sell.
I think that the outlook of a correction on the intraday chart could come back towards the 61.8% Fibonacci retracement of the recent bull run. The retracement support at comes in at $1.6603 (82 pips).
There is intraday resistance now in the band around $1.6690/$1.6700.
I have placed my stop at $1.6721 (35 pips) above the $1.6720 resistance.
At Hantec Markets Ltd we provide an execution only service. Any opinions expressed by analyst Richard Perry should not be construed as investment advice or an investment recommendation. This report does not have regard to the specific investment objectives, financial situation and needs of any specific person who may receive it. Forex and CFDs are leveraged products which can result in losses greater than your initial deposit. Therefore you should only speculate with money that you can afford to lose. Please ensure you fully understand the risks involved, seeking independent advice if necessary prior to entering into such transactions.