The UK Government has just suspended parliament so the pound has dropped like stone…
How many traders are trading on this forum ?
Hopefully you guys have been on the right side of this trade…
1 Like
Is this a good time to buy GBP? and long?
#Newbie
@gmoore That is a very interesting question and the answer depends on how you see risk and your trading strategy.
A lot of prop desks have stopped trading the GBP because they is not enough information or precedent on how this could settle- what if UK government do a complete 360 ? [No information= blind trading- who is risking thier bonus on that ?]
In my opinion the brave or thrill seekers who trade on the short end stand a high chance of thier long being wiped out by volatility… With that said screen time of watching the pound is going to be crucial and not many newbies are going to meet that criteria.
For the long-term guys, all the stars are aligning up for a long but it would be a 3-5 year trade which is pretty long for Forex trading. You would put less down and you would have carrying costs but to put it simply you would be risking 10 to make 60. Many of the algorithms that I worked with at Bank xxx had long-term currency trades in place but could shut down if certain conditions were met…retail traders wont have access to that type of data.
Just remember though if your trading the GBP your trading BREXIT which means your trading BORIS JOHNSON…
What do you normally trade and how long have you been trading ?
Really cool question though…you got my juices flowing 
2 Likes
Thanks for giving me both point of views. Loved the explanation.
I can imagine why prop desks have stopped trading GBP, its a mess right now.
I am not trading right now. Just learning here and playing around with a demo.