The British Pound, aka Cable, is currently wiggling around between a longer term plot 38% retracement and a short term plot 38% retracement. I contend that which ever one is broken first will set the trend direction for a pretty good spell. In the first plot below the 38.2% retracement of the run from the October 22 crash low and this past July's high forming the lower limit is roughly 1.2 $/£. In the second plot below the 1.23$/£ recent 38.2% retracement forms the upper limit. I have a sneaking suspicion that whichever post is past first should win the longer term race.
Regards,
Douglas
