GBP/USD – 1.2981
New strategy :
Stand aside
Position : –
Target :Â –
Stop : –
Although the British pound has rebounded again after holding above indicated support at 1.2905 and gain to 1.2996-00 psychological level cannot be ruled out, break there is needed to retain bullishness and signal recent rise from 1.2774 has resumed and extend gain to previous resistance at 1.3032, however, near term overbought condition should limit upside to 1.3055-60 (100% projection of 1.2774-1.2979 measuring from 1.2852) and reckon 1.3080 (61.8% Fibonacci retracement of 1.3269-1.2774) would hold.
In view of this, would not chase this rise here and would be prudent to stand aside in the meantime. Below 1.2940 would prolong consolidation and bring weakness to 1.2905 but break of latter level is needed to signal top has been formed, bring further fall to 1.2875-80 and possibly towards previous chart support at 1.2852 which is likely to hold from here.
