Cable heading back above 1.3000, long trade for 140 pips

٢ مايو ٢٠١٧

GBP has been on a bullish tear since UK PM May announced the snap election. Prices have broken key monthly resistance and has now made a Fibonacci play after pulling back to the 61.8 retracement, which is confluent with my area of interest. It has also broken this counter trendline and formed a 2hr tweezer bottom formation on a retest of the trendline/ 38.2 fib. I see prices breaking above the 1.3000 psychological level (first target) to hit the next resistance at 1.3060 (second target), which aligns with the 27.8 fib extension. This trade has a risk:reward of just over 1:3.