owdy Folks,

I have finally finished my book! I’m going to take advantage of my new free time and get back to blogging! I have really enjoyed our webinar chats and I’m looking forward to blogging here regularly again. Today being Sunday I’d like to share some planning thoughts on GBP/USD before the week gets started. Last week the story was consolidation after the breakout following the Fed’s statement. $1.6100 held resistance while $1.5800 held support throughout the week. If we measure Fibonacci extensions using the high / low preceding the breakout we find the market turned at the 50% ratio and reached the correlated 150% extension last week. This leads me to suspect some upside potential for GBP/USD over the short term assuming the selling is over with for now. The BoE has a rate statement scheduled for Thursday. If I had to guess, I’d say the pair is bid up early in the week and sent lower later in the week of course I could be totally wrong. If $1.58 falls early it appears the ride down to $1.53 could be swift. The fundamental calendar for dollar is light this week with only ISM, Unemployment and Trade Balance data expected. Regardless of direction, price action will ultimately lead the way.

Monday’s Webinar Link

I’m looking forward to the webinar tomorrow. I did a special webinar last Friday and we had a huge crowd of folks in the room! I hope you can join us tomorrow for our regular chat about support and resistance, “bargain days” and trading around your day job. The webinar starts at 12:00pm Pacific / 19:00 GMT. You can register via this link:

http://www.fxstreet.com/live/sessions/session.aspx?id=5261c7d5-80f6-4f06-9b99-6539c8505cb2

Click on “Register for this Session”.

Best of luck this week, more tomorrow.

Ryan

IMPORTANT NOTICE: These comments are for information purposes only. My opinions or other information contained in this post do not constitute investment advice. It should not be understood as a direct recommendation to buy or sell any currency contract or other investment vehicle. Forex trading involves substantial risk of loss and is not suitable for all investors.