Day 2 and GBP again begins its move as expected and as intended by the new UK system. GBP/USD dropped 47 pips at this same time yesterday and the only economic release was GBP Mortgage Approvals and an as expected release. GBP/USD today dropped 83 pips.
For 2 straight days, GBP dropped but GBP had an equal chance to rise yet it didn't nor couldn't because the BOE for 2 days created a GBP fall.
How many of the 35 trades scored 2, 3 and 400 pips without mention of the word economic release. A known target trades to target yet how the target achieves its destination could've factored to many aspects and not economics alone. The concept "Priced In" is another general term without purpose or meaning.
The BOE and all central banks revamped interest rates and the missing word is exchange rates. To revamp exchange rates alone is impossible because to many exchange rates exist and a re do to interest rates contains the indirect effects to the exchange rate.
Think the progression Money Supply, Interest Rates, Exchange Rates, economic release. An economic release is last on the chain of concern and its effects are indirect to the exchange rate.
Can a central bank work backwards and create an economic system to comply with Money Supplies, Interest Rates and exchange rates? It's impossible as the system must work to build forward from money supply to economics. Can the greatest mathematicians of our time calculate backwards?
The rehabilitation to interest rates intended purpose was strictly for banks for a redesign to a lend /borrow, buy /sell system for profit to lend inside the respective nation. The exchange rate is irrelevant.
The unfair advantage for the extremely few trading banks for the day trade as interest rates is the "How To" aspects are not known nor written in bank training manuals, or trading books or adademic papers. Its a self taught concept to either join the trading crowd or fall behind and trade the leftover levels. Every trader on the planet has the same opportunities as the trading banks but few take advantage so would trather rade against phantom market levels.
Most important to unfair advantage is known far ahead the choice of currency pair to trade. How many banks for example are interested to trade EUR/CAD, AUD/NZD, CHF/JPY, AUD/CAD, EUR/GBP, EUR/JPY.
GBP/USD broke its vital 1.3921 and now trades deeply into 1.3770's. Look for a teturn to 1.3844.
GBP/JPY broke its level at 151.03. Look for higher to first 150.88 and a break at 150.92.
EUR/USD is again contained below at 1.2062, 1.2049 and 1.2040. Break point for higher is today at 1.2216.
USD/JPY traded 109.49 and just short of next most important 109.59. Target is 109.83 above 109.59. Break below is located at 108.48.
Overbought USD/CAD break is located at 1.2720.
Much lower for EUR/NZD against break points at 1.7046 and 1.6955.
EUR/AUD targets 1.5805.