Long term, sterling has been down against the Yen since before Brexit, that's right, before BREXIT, it started to fall from the highs of 188 in 2015, there was a 50% fib pullback at the start of 2018 and we've now restarted the move back down to support levels 140, 136 and 128. There is also a lovely fat on the weekly chart.
If you aren't already in this trade, I am, wait for a pullback in the highs of the range of the channel around 147 and sell it back down.
3% of account only on entry at 147 with a sell signal, stops above 148, first target at 143 then 141.
How to enter a trade
As for Sterling, no surprise that the markets hated the 25 bp increase in interest rates, not only was it pointless, but it was the opposite of what the economy needs in times of an uncertain BREXIT period, another poor leadership choice from Mr Carney.
Expecting some lower lows on my basket of sterling trades... what are your thoughts so far?
Profit: 335 pips
3% risk - 1:3 return (9%)