Sterling bulls return despite possible BOE rate cut

Earlier this month, GBPUSD broke above a roughly two week long consolidation just yesterday signalling conservative long positions into the Great Britain Pound once again.

This is rather surprising given a very dovish BOE outlook with an expected rate cut of 25 basis points and a repurchase of £100bn worth of government and corporate bonds over a six month period.


Preceding this strong breakout, price has stalled once again forming a price range with a 1.33~ lower bound and 1.335~ upper bound. If price continues oscillating in this range, it sets up a good straddle trading strategy by observing directional breakout.


A Pip For Your Thought?

Fill in your details below or click an icon to log in: Logo

You are commenting using your account. Log Out /  Change )

Google+ photo

You are commenting using your Google+ account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )


Connecting to %s