Fundamentals:- We had quite a turmoil week last week with the trade war possibilities and then at the weekend with the strikes on Syria. I was up in arms about what to trade this week when I realised the Retail sales figures for the US on Monday are expected to come in much better than previous. Not only that but the strikes on Syria are supposed to be a single message to discourage Syria from using chemical weapons, not a sustained attack so there might not be as much of a market reaction as first thought. We do have weakly earning from U.K. which are expected to rise however it could just be a reaction to the minimum living wage going up so again not much more strength for the GBP which I think we are due a pull back on.
Technicals:- On the daily chart we have a double top at 14300 which if broken could see a further rise to 14500 especially as the current daily Oscillator is showing over sold, However in line with Fundamentals, I am expecting a bigger pull back on the recent long position. A breakout of last weeks pivot point could see 14000 retested.
Entry Level
sell stop 14198
stop loss 14310
take profit 14000
if it breaks out above 14300 I will post another trade scenario
Technicals:- On the daily chart we have a double top at 14300 which if broken could see a further rise to 14500 especially as the current daily Oscillator is showing over sold, However in line with Fundamentals, I am expecting a bigger pull back on the recent long position. A breakout of last weeks pivot point could see 14000 retested.
Entry Level
sell stop 14198
stop loss 14310
take profit 14000
if it breaks out above 14300 I will post another trade scenario
