Diary of a day trader: Brexit has become all consuming

No currency trader can escape Brexit, it has become all consuming.

It’s great for a day trader like me as there is so much uncertainty pulling the pound in both directions. I need volatility to make money and the faster and more frequent the prices change, the better it is.

I trade cable — the pound/dollar market — which on Sunday hit $1.3361 after the Chequers meeting, before tumbling to $1.3187 after Foreign Secretary Boris Johnson resigned on Monday. It looked at that point as if there was a planned rebellion taking place.

However, it has since pushed higher to $1.3258 as traders believe Prime Minister Theresa May’s soft Brexit will eventually win out.

Who knows what is around the corner, but so far Brexiteers have failed to drum up the 48 letters needed to force a no-confidence vote and trigger a leadership race. I think it is finally dawning on MPs that it would be suicidal to go against her and derail the whole Brexit process.

Either way I’ll wait for the pound to hit $1.33 before selling again and then I’ll buy at $1.32 — that’s my range.

Portfolio: $40,000

Seven days: +0.8%; YTD: +14.8%