Trade Idea Update: GBP/USD – Buy at 1.2895

GBP/USD – 1.2976

Most recent candlesticks pattern   : N/A

Trend                                 : Near term up

Tenkan-Sen level                 : 1.2964

Kijun-Sen level                    : 1.2895

Ichimoku cloud top              : 1.2801

Ichimoku cloud bottom        : 1.2784

Original strategy :

Buy at 1.2895, Target: 1.2995, Stop: 1.2860

Position : – 

Target :  –

Stop : –

New strategy  :

Buy at 1.2895, Target: 1.2995, Stop: 1.2860

Position : –

Target :  –

Stop : –

As cable has risen again after brief pullback, suggesting recent upmove is still in progress and may extend further gain to 1.3010-15, however, loss of near term upward momentum should prevent sharp move beyond previous resistance at 1.3048 and reckon 1.3075-80 would hold on first testing, risk from there has increased for a retreat to take place later. 

In view of this, we are looking to buy cable again on pullback as 1.2895-00 should limit downside. Below previous resistance at 1.2861 would defer and suggest a temporary top is formed instead, risk weakness to 1.2830-35 but support at 1.2794 should remain intact.