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.
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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