Tracking My Recent Purchases in the Pound
The British Pound is going up against the Greenback, as things were supposed to go according to the Fed's dovish guidance. GBP/USD passed more than one hundred points from my entry, and so I feel comfortable with my long positions, still keeping the ultimate target around 1.30. Yet, rational money management principles argue that partial profit taking would be a relevant approach at levels between 1.28 and 1.2850 in order to protect the gains. I am not going to close the full volume of transactions. As for me, the best decision in the current situation would be to prepare for booking profit by more than half or maybe two-thirds of the full lots of the deal. The exact amount rather depends on the specific selling price I could get. For example, I would sell more at some closing price in the direct vicinity of 1.2850 or higher, if market dynamics would be favourable enough to GBP holders at the moment. Yet, I am also ready to sell smaller amount just several points above 1.28, if higher price area would not be achieved within a couple of days after the weekend, as nobody wants to get caught up with too high volumes in the swamp of a thin pre-Christmas market when uncertainty could emerge around the corner. Anyway, my trading plan is to shift stop loss orders above a breakeven point for the rest of the deal after I take care of its major piece.
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