Update for: 2011-12-05 - 2011-12-11

Posted on: Sunday, 04 December 2011 21:52


GBPUSD: 1.5595

 Short-Term Trend:  downtrend


GBP managed to rally abv 1.5680/1.5700 level and our hypothetical short poisition was stopped out. However, the price pattern on the hourly chart remained bearish and with the Friday's sell-off the daily chart looks very bearish again. So, despite the rally to 1.5778 last week, there is no reason to be bullish here. In fact I see no reason to be neutral as well. The ST picture remains bearish as long as the last week's top remains intact. So, I continue to favor the short side here expecting to see a move twd 1.5260 initially and 1.5000 eventually.
On the upside, gains abv 1.5700 and abv 1.5778 will turn the immediate prospects bullish, so if one is short, they should probably consider a stop somewhere abv 1.5700.

Strategy: The prev. short was stopped out at 1.5700. New shorts are favored against 1.5730.

Next Update: Sun, 12/11/2011.

Legal disclaimer and risk disclosure

The services provided by Trend Recognition Ltd are intended for informational and educational purposes only. While a course of conduct regarding investments can be formulated from the presented analysis, at no time will Trend Recognition make specific recommendations for any specific person, and at no time may a reader, caller or viewer be justified in inferring that any such advice is intended. The service is not a recommendation to buy or sell securities or an offer to buy or sell securities. The publishers of Trend Recognition website are not brokers or registered investment advisors and are not acting in any way to influence the purchase or sale of any security and/or its derivatives. The data for information provided by this website is obtained from sources deemed reliable but is not guaranteed as to accuracy, or completeness. The use of Trend Recognition services is done so at your own risk. Trading and investing in any financial markets, including, but not limited to the stock market, options market, futures market, bond market, and/or the commodities market involves serious risk of loss, and in some cases, greater loss than the amount invested. You should not rely solely on the information provided on this site in trading. Use of this site is your agreement to assume full responsibility for any losses, and your acknowledgment that we do not guarantee any results or information provided in this site and that you acknowledge that you are forming an independent opinion based upon your own research and resources, and not on the information contained herein. Trend Recognition recommends that you do your own due diligence and research when considering placing any kind of transaction.It is possible at this or subsequent date, the publishers of Trend Recognition may own, buy or sell the securities discussed therein or their derivatives. Trend Recognition or its publishers are not liable for any losses or damages, monetary or otherwise, that result from trading the securities and/or derivatives discussed within the Trend Recognition website. The publishers of the Trend Recognition recommend that anyone trading securities and/or derivatives should do so with caution and consult with an experienced broker and/or investment advisor before doing so. Past performance of Trend Recognition may not be indicative of future performance and does not guarantee future results.

Read the full Disclaimer.