GBP/USD – 1.2743
Original strategy :
Sold at 1.2790, Target: 1.2690, Stop: 1.2825
Position : – Short at 1.2790
Target : – 1.2690
Stop : – 1.2825
New strategy :
Hold short entered at 1.2790, Target: 1.2690, Stop: 1.2825
Position : – Short at 1.2790
Target : – 1.2690
Stop : – 1.2800
As the British pound ran into resistance at 1.2818 yesterday and has retreated on dollar’s broad-based strength after Fed rate hike, suggesting the rebound d from 1.2635 has ended there and consolidation with mild downside bias remains for weakness to 1.2680-90, however, break there is needed to retain bearishness and bring further fall to 1.2650, then towards said support at 1.2635.
In view of this, we are holding on to our short position entered at 1.2790. Only above said resistance at 1.2818 would defer and risk a strong rebound to 1.2845-50 (61.8% Fibonacci retracement of 1.2978-1.2635) but upside should be limited to 1.2870-80.
