Pound vs Dollar - Daily FX Chart 5th MAy 2009

Pound vs Dollar - Daily FX Chart 5th MAy 2009

Good things come to those who wait with cable bulls achieving the breakout they have been patiently waiting for as the pounds to dollars pair finally broke above the 1.50 price mark.  The breakout is even more significant as it has come in a pivotal week for fundamental news on the economic calendar and it is also one of the few currency pairs that we can now look towards trading on a longer term trend basis.   With all the moving averages now turning and with the 9 and 14 day averages crossing opening long positions is the order of the day, preferably on a pull back either on a daily or intra day basis.  The strength of this move will be confirmed if we manage to hold above the 1.50 region on the week and if so, then we can assume that the move will be sustained in the medium term.

My trading suggestion for today is to therefore look to build long positions buying on any dips with stop losses placed below the 1.46 region.

You can keep up to date with all the latest fundamental news on the economic calendar, latest currency news and live currency charts by simply following the links.  I have also included details on an excellent ECN broker.