Today UK has released its Q4 and annual GDP numbers, we saw UK’s economy slowing in its last quarter of FY11-12. The data that came out was -0.3% QoQ basis and 0.5% YoY basis as compared to -0.2% QoQ and 0.7% YoY previously. We may see under-performance in GBP currency in forex market, so taking view of medium term we advice forex traders to take short positions on GBPUSD around 1.595 level for trading target of 1.575 and then 1.5675 levels. Placing stop loss above 1.605 mark, technical indicator are suggesting the pair is loosing upward momentum, hence this can be a clear signal to take short positions. High risk traders can even short sell GBPJPY with 150 pips gain in holding pair for a week, yen may strengthen in near term, also we see GBP to weaken. Indian markets also saw volatile session as tomorrow is F&O expiry for march series, trading nifty future will be difficult in tomorrows session.
About Bhaveek PatelBhaveek Patel is technical analyst and investor, his areas of interest includes stock market, forex and gold.
Trackbacks
-
-
[…] basin block hit a record low and also globally gas prices as making lower tops and lower bottoms. Short selling nifty future will be trading strategy to be adopted here. As per my experience trading in direction […]
[…] fall in EURCHF will be short lived as SNB has promised that it is going to buy unlimited amount of foreign exchange to prevent CHF to strengthen further. Just after breaking below 1.20 level, SNB chief said that […]