Cerebro1's  Instablog

Cerebro1
Send Message
I am currently working as a Currency Strategist at the Trinidad and Tobago Unit Trust Corporation with responsibility over the TTUTC Global Bond Fund. I was previously responsible for the TTUTC Universal Retirement Fund. I am a graduate from the University of the West Indies with a Bsc. in... More
My blog:
CEREBRO
  • CTA 19-Oct-13 GBPUSD 0 comments
    Oct 19, 2013 2:38 PM | about stocks: FXB

    GBPUSD 4HR

    (click to enlarge)

    MAIN VIEW - BLUE

    GBPUSD has an a-b-c zigzag pattern during the 1st couple of weeks in October where wave a ended @ 1.59154 on 10-Oct-13, wave b ended @ 1.60666 on 16-Oct-13, and wave c ended @ 1.58955 on 16-Oct-13. This wave was followed by a wave (i'), which ended @ 1.62256 on 18-Oct-13. It is anticipated that GBPUSD is currently in a wave (ii'), which is expected to end around 1.602. The count will be invalidated if GBPUSD trades below 1.58955. Assuming equality in wave (i') wand wave (iii') as it is too early to determine otherwise, wave (iii') is expected to end around 1.634.

    Momentum indicators are mixed as RSI and MACD are trending upwards while the Fast Stochastics appear to be overbought. While a bullish reversal is seen in the RSI, it only takes GBPUSD to 1.62083, which shows that the wave (ii') has not completed as yet.

    Trade idea

    Buy GBPUSD @ 1.602 with a stop @ 1.58955 (0.78% loss) and targeting 1.634 (2% gain). Reward/risk = 2.56.

    ALTERNATE VIEW - GREEN

    GBPUSD is at the early stages of an impulse wave. Wave I ended @ 1.59154 on 10-Oct-13 and wave ii ended @ 1.62256 on 18-Oct-13. GBPUSD is now in a wave iii pattern. Given that there is a lack of clarification, equality is assumed in wave I and wave iii. Thus wave iii is expected to be completed around 1.587. The count will be invalidated if GBPUSD trades above 1.6263.

    Trade idea

    Short GBPUSD @ market 1.617 with a stop @ 1.6263 (0.58% loss) and targeting 1.587 (1.89% gain). Reward/risk = 3.26.

    Stocks: FXB
Back To Cerebro1'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

StockTalks

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.