06 November 2015, GBP/USD
GBPUSD is currently trading with a very slight bullish bias. The pair traded short for the better parts of yesterday's Intraday as previously forecasted. It even ended up closing below a very significant key support level 1.5238. We are waiting for a minor corrective move upwards probably up to this support before we continue short. This pull back will also be accompanied by a similar upward movement in GBP/HKD up to 11.81. These two pairs have had a very strong positive correlation of up to +0.96, and are thus expected to move in a similar direction. Ideally, wave (5) should close along the lower support trend line at 1.4958. We will therefore sell Pounds at the same time when GBP/HKD reaches 11.81.
Sell this pound from 1.5238 but with a stop loss at 1.5263. This view can only be challenged should the price end up closing above 1.5263
We are constantly improving our website quality. If you have any suggestions on how to make our website better or noticed an error on the website, please tell us