May Trade #16 - SELL GBP/USD

May 29, 2009 9:00 am (Manila)

Unfortunately, pair is out at -37 pips/lot for a total of -74 pips.

My trade was with a very tight stop. Will look for more opportunities to re-enter.

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May 29, 2009 7:16 am (Manila)

SELL GBP/USD @ 1.5925
STOP - 1.5962 (-37)
Limit 1 - 1.5895 (+30)
Limit 2 - 1.5855 (+60)

At about 7am today (Manila), UK Gfk Consumer Confidence survey came out slightly less than expected. This is a leading indicator of consumer spending which accounts for huge chunk of GDP. This, coupled with the pair's overbought level, I hope will bring this pair down.

Plus, a shooting star and a dodji formed on the daily charts the past two days, possible signals of an end to buying for this pair.