A very simple trigger for those wanting to cover some shorts from the initial elections entry; the key 1.315x support is holding and pressure has been completely absorbed.
We are trading the bottom of the clearly defined range from the elections; 1.315x <=> 1.355x and markets rather than going overboard on risk will want to keep their cards closer to their chest until 2020. If we do lose 1.315x this will trigger a panic leg and immediately put us into impulsive territory in the macro chart below.
Macro prints today from the UK were better than expectations and will be enough to keep BOE on hold and unlocks another test of 1.35xx. I will continue to use this pivot to position for the long-term flows:
A perfect double top in the making? Smells like it...
Thanks for keeping the support coming with likes, comments and questions. This is for advanced traders only as we are using the short-term range to decrease risk and scale into our position for a long-term trend. As usual with any questions feel free to open below.
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Trade closed: stop reached
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1.315x stops tripped and taken before we could get the technical break. A test of 1.300x looks next and for those following we will need a round of updates for GBP crosses.