Choppy trading to start the second half of the year, as GBP/USD was all over the place. Your best bet at catching pips may have been to try scalping off the day’s highs just below 1.5250 and aiming for the week open.
The ugly U.K. construction PMI figure triggered a solid sell-off on GBP/USD, causing price to break down the 1.5200 handle and settle at the 1.5150 MiPs.
Breakout baby! Had we bought on the break at the start of the London session and even set a modest target at 1.5250, we could have grabbed around 70 pips!
Aside from the huge drop caused by the dovish BOE rate statement, GBP/USD was a ghost town. It consolidated prior to the rate decision, dropped after Carney delivered his speech, and then went right back to trading sideways.
With the bears still in control, GBP/USD slid further down the charts, as it broke through 1.5000 before finding support at 1.4900. A break of the triangle early in the Tokyo session and holding until 1.4900 would have enabled you to catch the full 100-pip move.
Even though the newswires were silent in the U.S. and U.K., GBP/USD still managed to put on a show for the markets. It bounced off the previous week low and staged a 90-pip rally to the 1.4950 MiPs.
After retesting the PDH, GBP/USD took a dip in the deep end, falling to 1.4850 before finding any sort of support. A short at the green line and holding until the PDL would have enabled you to catch a slick 100-pips!
The markets were relatively chill during the first half of the day. After a bounce off the PWL/1.4850 MiPs, GBP/USD drifted choppily higher. But once the markets caught sight of the FOMC meeting minutes, which suggested no immediate tapering of QE, they sprung to life. What followed next was a ridiculous rally on GBP/USD that spilled over into the next day.
GBP/USD spiked up early thanks to overall dollar weakness following the release of dovish FOMC meeting minutes from the previous New York session. If you missed that up move, you could have still hopped back on a retest of 1.5100 and held until the pair hit 1.5200 late in the day.
GBP/USD traded sideways at the start of the day, staged a sharp drop in the London session, and then went right back to trading sideways!
If you’re a fan of divergences, then this setup would have been perfect for you. You could have bought when divergence emerged, at around 1.5040, gone with a 30-pip stop and aimed for the 1.5100 MaPs, which held as support earlier in the day. That would have helped you catch a smooth 60 pips!
Cable sank like rock after the UK CPI printed below expectations, but it found support at the 1.5050 handle and staged an impressive comeback in the New York session!
After finding support at the 1.5100 MaPs, GBP/USD soared higher thanks to the results of the latest MPC vote! GBP/USD soared 150 pips higher to top out at 1.5250 and eventually just above the 1.5200 handle. If you had just bought at 1.5100 when bullish divergence formed, you would have caught the majority of the move!
GBP/USD was sliding its way to 1.5150 until the UK retail sales report delivered an upside surprise and caused the pound to surge. Price eventually rose back to test the PWH, where it settled at the end of the day.
Steady climb up the charts go Cable on this day! Buying on the test at 1.5200 could let you catch the bottom and ride the whole move up!
A bullish divergence late in the Tokyo session signaled a potential bull run, and surprise, surprise, it happened! GBP/USD powered through the 1.5300 handle and ended the day just above 1.5350.
Make that back-to-back days of bullish divergence on GBP/USD! After dipping lower during the earlier parts of the London session, GBP/USD came storming back, as it managed to break back above the daily open price and finish just a shade under the PDH.
GBP/USD sloped downwards in the first half of the day and had trouble trading above the day’s open. After a couple of U.S. reports ignited demand for the dollar, the pair gave in to selling pressure, eventually tapping 1.5300.
Talk about a comeback! After dropping to as low as the weekly open price, GBP/USD bounced back during the New York session and rose over 100 pips from its lows to finish above 1.5400.
Was that choppy or what?! Without any reports to provide the market with direction, GBP/USD was all over the place. It traded all around the 1.5400 handle and the previous day high but eventually decided to chill just a few pips below the day open.
