Although the probability is bullish there are two important aspects of the current situation we should discuss:
1) Price has not breached the 2.0650 all time high and continued with a more explosive current trend
****First of all we can see that we are situated within a great bullish probability and maybe this current trend will eventually continue to breach the 2.0650 high, but at this point in time we will excercise LOW EXPOSURE related trades as the cable is the 'boss of bosses' when it comes to volatile retracements. Unfortunately this is the scenario. Only when the high has been taken out, we can start executing trades with more exposure. Keep the risk as low as possible guys.
2) The BoE minutes are released today (08:30 gmt)
****Now this is interesting...Will our Uncle Merv continue to subtly move away from his hawkish tone? The point is that the fundamentals in the past few weeks was pretty mixed and inflation might seem to be under control but wait.....what about the high price of oil? Makes you think
Anyway, we're definitely not bearish yet
Disclaimer: All statements and expressions in this analysis are opinions, and not meant as investment advice or solicitation. Forex can be volatile and opinions may change without notice
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