I'm looking at a possible sell off on GBP/USD.
From a technical stand point a lot of its negative neighbours are also showing signs of strength I.E USD/CAD so I'm going to wait and see how the market reacts on open and then based on the direction the market wants to move I'll then get involved from the appropriate angle so my plan is to short but if the stars align to continue long I will also be going long, the downside potential and risk to reward is a lot greater than if we were to continue to the upside.
From a technical stand point a lot of its negative neighbours are also showing signs of strength I.E USD/CAD so I'm going to wait and see how the market reacts on open and then based on the direction the market wants to move I'll then get involved from the appropriate angle so my plan is to short but if the stars align to continue long I will also be going long, the downside potential and risk to reward is a lot greater than if we were to continue to the upside.