Commentary: In typical Cable fashion, the pair broke through the top of the recent range this morning (2.0550) and traded to 2.0573 before reversing lower. The entire rally from 2.0426 looks corrective, indicating that the rally could be a diagonal. In fact, the entire rally from 1.9651 looks corrective as the waves overlap.
Again, this reinforces what we have held for weeks, which is that everything from 2.0654 is a big correction. The 3rd wave (wave c) of the correction is about to begin and should be an impulse (fast decline), soa bearish bias is warranted against 2.0654
Strategy: Bearish now, against 2.0654, target TBD (below 1.9651)