---- ANALYSIS ---- ... Possible SHORT in formation as profit-taking rally run out of steam from low of 1.2650 to Daily S/R @ ~1.2750 ... (NOTE: GBP price action currently driven more by UK news than by fundamentals) ... Small "evening star" doji candle (7am-8am EST) completed. (denotes uncertainty/reversal) ... Cannot really see any contra-indications at this point (i.e. high-probability SHORT)
---- ACTIONS ---- ... (next 24hr) Looking to conservatively SHORT @ 1.2710-00 level with TP set at approx. 1.2650 (i.e. 50p pips) ... (This week) Will monitor price action (as well as UK news) for change in sentiment. --- Possible 100p channel (1.2750 - 1.2650) in formation
Nota
US-CPI and Retail Sales announcements (8:30am EST) is having a dramatic effect on all USD pairs. Above analysis is invalid (...at least for the moment ;-)
Will stay tuned for FOMC Interest rate statement at 2pm EST for further effects on this particular pair...
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