Daily Outlook - March 28th, 2008.

We have UK Nationwide house prices coming out at 3:00pm EST and the UK GDP numbers coming out 5:30pm EST. Both have the potential to throw off our GBP/USD signals and so we will be taking any GBP/USD entries at half risk. We also will be very cautious prior to the GDP numbers exiting our position unless we are safely in profit.

After seeing some signs the U.S. Dollar was strengthening late last week, more bad news continues to come out(here, here). The Dollar has nearly halved its value against the Euro in the last 8 years. There are definitely positive sides to a weak Dollar but it sure hits to hold them right now.

Because of the 1/2 risk GBP/USD requirement, we will also be taking 1/2 risk on our Intra-day strategy as well so as to balance the overall cash management plan.

UPDATE (1:40AM) - Prior to the open of Frankfurt, the GBP/USD strategy signaled a no trade for the day. We now will bump our Intraday risk back to normal. We will not, however take any new Intra-day entries 30 minutes before or after UK GDP. We will also exit any open positions on both pairs 5 minutes prior to the report unless both positions are in significant profit.