Kumowizard

Extreme free fall -> extreme values (ATR, haDelta)

FX:GBPUSD   British Pound/U.S. Dollar
283 3 10
GBPUSD             is mega bearish . But in such big bearish moves, we'll have massive pop ups too.

Two important things you have to pay attention to:
1. Volatility is extreme and it will stay elevated for long time! Look at ATR! Over the roof! If you ever decide to trade, you must reduce your position size dramatically now. Adjust it with ATR! GBP now trades worse than any EM ccys in any crisis before.

2. haDelta multi year extreme low on weekly was around -0,0415. It is now at -0,0926 !!!!! Same extreme value on daily haDelta, which reached -0,1145 today!!! This has never happened before. Obviously I don't say it is any kind of buy signal, I just say don't be surprised if we see some normalization, consolidation ard 1,31 or a maybe even a sudden spike to 1,3850.

Maybe best idea is not to touch it at all, until volatility is so high... or do some bottom fishing, preferably through options?
I think gbp is near the bottom, and euro should fall more.
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Kumowizard PRO ShauntheSheep
5 months ago
EURGBP chart says different. But I agree. EUR may come under more pressure. Prob is which cross to sell? I prefer EURUSD as AUD may suffer from China, and CAD, NOK already shows weakness even against EUR, because of selling pressure in Oil. SEK I don't like. CHF maybe, but there is heavy negative carry. If you can afford, EURDKK can be an alternative protection. But only if the pressure on EUR will finally be really dramatic, as then Danish CB will have to abandon the peg. (EURDKK floor)
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ShauntheSheep PRO Kumowizard
5 months ago
I totally agree with you... for euro...just sell eurusd
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