Ralph Shell's  Instablog

Ralph Shell
Send Message
Ralph Shell has a rural midwest agricultural background. He graduated from a small Ohio liberal arts college. His graduate studies were in economics and history at Duke University. Shell has ten years experience trading cash commodities in domestic and export markets. He is also a former... More
My company:
Project Triumph LTD
My blog:
Forex Brokers
  • GBP/USD Commentary and Analysis 0 comments
    Aug 28, 2009 2:09 PM | about stocks: FXA, FXB, FXC, FXE, FXF, FXY, UDN

    Our inclination to scalp the pair from the long side yesterday was the right approach but you had to move quickly. The break which took the market down a little under 1.62 found some buyers.  Open interest at the CME went down 3789 contracts, meaning that short covered while the longs bailed out. The GDP in the UK was down 0.7% in the second quarter, a little better than the 1.0% down in the US. The Michigan survey this morning revealed that consumer confidence in the US is waning.  We are currently trading at 1.6310, after yesterdays run up in the high 1.63s.


    Since the brief trade above 1.70, this market has been on the defensive and has a period of lower swing highs and swing lows.  While we prefer to not have a trade on over the weekend, but shorting this pair above 1.6350 looks intriguing.  The euro versus the pound has also made a nice run this week.

    It looks like the easy money may be out of this one after the 300+ pip run up.  Best to step to the side lines and look to re-enter  the long side on a sell off to the 87 level.

    Stocks: FXA, FXB, FXC, FXE, FXF, FXY, UDN
Back To Ralph Shell's Instablog HomePage »

Instablogs are blogs which are instantly set up and networked within the Seeking Alpha community. Instablog posts are not selected, edited or screened by Seeking Alpha editors, in contrast to contributors' articles.

Comments (0)
Track new comments
Be the first to comment
Full index of posts »
Latest Followers


More »

Latest Comments

Instablogs are Seeking Alpha's free blogging platform customized for finance, with instant set up and exposure to millions of readers interested in the financial markets. Publish your own instablog in minutes.