GBP/USD - Where is it going? UPDATE

Posted on November 24th, 2009 by James Alliss.
Categories: Forex.

As I posted yesterday I shorted the pair @ 1.6604 and I was targeting 1.6300. Early on I managed to see a 100 pip gain on my trade but noticed price starting to reverse around 7am EST as it usually does so got out for +75 pips. I posted this on Twitter.

At the moment the market looks confused since EUR/USD is bullish yet GBP/USD and AUD/USD appear bearish to me so something is likely to give soon. Since EUR/USD is the only pair showing bullish signs out of the three, my bias still remains bearish on GBP/USD. The safest entry for a short GBP/USD looks to be 1.6665. If I see price there then I could be interested depending on what the other majors are doing at the time.

For now, I’m unable to give a definitive direction so I’ll be on the sidelines until the morning.

Remember all my trades are logged and verified here.

James.

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