Cable is in an uptrend as shown in the chart below.
Chart below
Price has retraced from a high of 1.6300 to find support at a previous low and a 50% fib level.
Chart below
In a perfect world Cable would break the previous high and Weekly Central Pivot Point (WP) at 1.6200 This would show a real appetite that price wants to retest 1.6300.
However with the slow down in the volatility we have seen in recent weeks it may be I have to take the trade without a Higher High.
Last time Cable made a move up I did not enter the long on the pull back as there was no Higher High. Price then went 450 pips without me.
Price has broken the trend line resistance and has made a new high above the immediate swing high so even if price does not break the Weekly Pivot I will assess the trade when it pulls back to support.
I am looking to enter a long trade around the following levels.
Chart below
Entry: 1.6150
Stop: 1.6110
Target: 1.6300 (4%) Previous resistance level.
As I said this is not a trade just yet, I will update as and when price pulls back to the averages.
Have a good afternoon
Best Regards
Scott
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