Dynamic Trader Forex Blog FXCPS.co.uk: Cable

Good Evening / Morning Dynamic Traders

"Better to have tried and failed, than not tried at all"

Cross = GBP : Day Chart (Posted Below)

Bank holiday weekend and no time to do an update last night or this morning.

I had to bring to your attention the Cable after seeing the chart over the weekend.

As usual drilling down from the top, the "Monthly shows we are now in an up trend since March, which could be a recovery but be aware it could also be a retracement before heading back down as price is currently at a breather level.

The weekly shows price rising, between a nice trading channel and price currently at the top line, which co-ensides with the Advanced Get "Elipse" of the 4th wave. Stochastics are very high at 94.63 which could signal a change of direction soon.

The Day chart as illustrated shows the price moving between the trend channel much clearer, it also points out that not only have we hit the top of the channel, but we have met the VI and a major RN at the same time. If we take the time price pierced the channel previous and recently we will see signs of "Divergence". RSI has not been at it's current levels for some time and stochastics also is high at 96.65 even though it is giving a false reading.

In summary the Long term trend is up and a BOB of the RN would be an ideal entry using ESLT, however short term, price reversing could lead to price moving towards the lower trendline.

Please ensure you carry out your own analysis before placing a trade and always use a stop.

I will be unable to update tomorrow due to leaving for Rome in 3hours for the Final vs Barcelona, Com'on United. I will return on Thursday.