Time to cover GBP shorts for long pivot: target 1.3640
Long GBPUSD targeting 1.3640
Having remained short GBPUSD since the brexit vote June 24th (see linked), now could be the time to close shorts and consider a long position in the pound.
I personally have been a buyer the past two days at 1.2870 and 1.2912 respectively (1.2891 average). Targeting a retracement to 1.3640 (38.2% brexit move) once 1.3316 is held on a consecutive daily close basis.
For further insight and discussion please contact me via Tradingview or LinkedIn, on Twitter @James_LVDTA, and visit www.lexvandam.com to become a member of the Trading Club.
Having remained short GBPUSD since the brexit vote June 24th (see linked), now could be the time to close shorts and consider a long position in the pound.
- Speculative positioning is extremely bearish and has increased to record highs in recent weeks
- With sterling effectively pricing recession, rate cuts having already taken place, and rising inflationary pressures including house prices (notably for the UK economy), risk appears to be to the upside
- With year-end analyst estimates reflecting this with major downwards revisions, it will take a great deal of bad news to push the pound below 1.27
I personally have been a buyer the past two days at 1.2870 and 1.2912 respectively (1.2891 average). Targeting a retracement to 1.3640 (38.2% brexit move) once 1.3316 is held on a consecutive daily close basis.
For further insight and discussion please contact me via Tradingview or LinkedIn, on Twitter @James_LVDTA, and visit www.lexvandam.com to become a member of the Trading Club.
