Johanes

GBPUSD TARGET ZONE: TOO LATE TO LONG AND TOO RISKY TO SHORT

Long
Johanes Updated   
FX_IDC:GBPUSD   British Pound / U.S. Dollar
THE FED AND BOE MANAGED THE 1.2150 AS THE LOWER MEDIUM TERM BAND FOR GBPUSD TO MATCH THE MEDIUM TERM ECONOMIC AND FINANCIAL STABILITY BY ALLOWING THE PAIR TO MOVE TO UPWARD. THE ESTIMATED UPPER MEDIUM TERM BAND IS 1.4150 FOR 2000 PIPS MEDIUM TERM EXCHANGE RATE TARGET ZONE AND THE 1.3150 THE CENTRAL BAND/CENTRAL PARITY AS AGREED BY INTERNATIONAL AGREEMENT. ACCORDINGLY, THE MEDIUM TERM DIRECTIONAL MOVEMENT IS TO UPWARD OR UPWARD TRENDING OF MEDIUM TERM TREND (1.2150-1.4150).

THE PAIR HAS REACHED HER CENTRAL BAND/CENTRAL PARITY ON THE WAY TO UPPER MEDIUM TERM BAND. LONG ON THE CURRENT RATE OBLIGATES THE STOP LOSS TO BE MANAGED AT BELOW THE LOWER BAND 1.2150 AND TOO WIDER TO TARGET THE 1.4150. LONG FROM THE CENTRAL BAND/CENTRAL PARITY AFTER STABILIZED FOR +/- 2.25 % NOT ALLOWED DUE TO THE PAIR NOT UNDER MARKET STERILIZATION. SHORT NOT RECOMMENDED AT CURRENT UP-TRENDING MEDIUM TERM TREND. AT SUCH, GBPUSD IS TOO LATE TO LONG AND TO RISKY TO SHORT ON THE MEDIUM TERM PRICE STABILITY.

THE ONLY OPTION AVAILABLE AT CURRENT MARKET ENVIRONMENT IS TO TRADE GBP'S DERIVATIVES BY ASSESSING AND MEASURING THEIR TARGET ZONE DIFFERENTIALS AND THEIR PERFORMANCE.
Comment:
Comment:
GBPUSD MAY STABILIED AT 1.3150 +/- 2.25 % BEFORE RESUMED TO MOVE TO UPWARD TO VISIT 1.4150.

THE STABILIZATION OFFER AN OPPORTUNITY TO LONG/BUY GBPUSD AT THE CENTRAL BAND AND TO MANAGE STOP LOSS BELOW THE CENTRAL BAND/CENTRAL PARITY BUT AT HIGHER RISK (NOT STERILIZATION) TO TARGET THE 1.4150 FOR ABOUT 1000 PIPS.

HIGH FREQUENCY LONG TRADE ON GBPUSD ALSO COULD BE COMMENCED FROM THE STABILIZATION RATE.
Comment:
GBPUSD NOT STABILIZED AND MOVE FASTER THAN EXPECTED TO THE PROJECTION. THE MOST PROFITABLE ON GBP'S DERIVATIVES ARE EURGBP AND GBPAUD.
Comment:
GBPUSD HIGHLY FLUCTUATED AT EQUILIBRIUM STATE 1.3150-1.4150 BUT CONSISTENT TO UPWARD FOR VISITING HER UPPER MEDIUM TERM BAND 1.4150. SHOULD THE PAIR TO BE STABILIZED AT CENTRAL BAND/CENTRAL PARITY, THEN LONG TRADE OPPORTUNITY COULD BE ESTABLISHED.
Comment:
GBPUSD IS STRONG TO MOVE TO UPWARD (SIMILAR TO THE PREVIOUS EURUSD'S UPWARD MOVEMENT TO REACH HER UPPER MEDIUM TERM BAND 1.2000) AND LOOKING TO VISIT 1.4150.
Comment:
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