BoE cuts 25bps as expected and add 70bn in QE

So yea BoE did the expected with a cut of 25bps and also topped it with a 70 bn addition in QE , So this comes within expectation regarding the rate cut but also a small suprize in size od QE.I had warned yetsreday here (also discussed levels to look at) that we need to look at this event with a negative bias on GBP and soon after the event the currency moved down by over 100 pips and still correcting downward as I type.As of now the low made is 1.3168 and we can see a strong support only around 1.3050/60 levels. A break of that would lead to more correction.One more reason for this strong sell off is because of a strong downward revision of GDP in the statement. BoE Gov Mr.Carney would be doing a presser in next 20 minutes.

For now the strategy would be to trade the trend when there is a decent retracement, I am out of my sells i accumulated since yesterday for now and I shall wait for the presser and see if we get any more info and trade the retracement if the trend is intact.

Please feel free to contact me for any further queries through the contact form here

Disclaimer :- Trading is not for the weak hearted , Trading these instruments involves high level of risk and losses can exceed capital (depending on your FX Broker).My advises should be used as a medium to learn and not as a medium to get RICH.I dont have any formula for anyone to get RICH. I shall share no responsibility for anyone's profit or losses.Once again Trading is not for everyone


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