The UK releases its Initial GDP numbers today, so it is very likely that we are looking at movement in the GBP/USD pair, as well as the FTSE today.
The FTSE struggled during the session on Monday, and fell from the 7100 level yet again. This market seems to struggle at that level every time it gets there, but we feel that it is only a matter of time before we break above it, and onto higher levels. The market should offering call buying opportunities every time it pulls back, and we plan to take advantage of that fact. The FTSE has support all the way down to the 6800 level, so we are very bullish.
The GBP/USD pair already has broken out above the 1.55 level during Monday trading, so we believe that any pullback should be an opportunity to buy calls in this pair. We see GBP strength everywhere at the moment, and believe that the Pound is rapidly becoming one of the favorite currencies we follow. We are buying calls in the GBP/USD pair every time it pulls back. We believe that the pair is heading towards the 1.58 level in the near-term.
Silver simply cannot be traded. Neither can gold. Both markets are essentially “dead money” at the moment, as we are stuck in a very tight range. Because of this, we are on the sidelines, but will certainly be watching this pair of markets as the moves should be strong once we break out.