GBP/USD – 1.2702
Most recent candlesticks pattern : N/A
Trend : Near term down
Tenkan-Sen level : 1.2671
Kijun-Sen level : 1.2672
Ichimoku cloud top : 1.2702
Ichimoku cloud bottom : 1.2650
Original strategy :
Sold at 1.2695, Target: 1.2595, Stop: 1.2710
Position : – Short at 1.2695
Target : – 1.2595
Stop : – 1.2710
New strategy :
Hold short entered at 1.2695, Target: 1.2595, Stop: 1.2710
Position : – Short at 1.2695
Target : – 1.2595
Stop : – 1.2710
Although cable has rebounded again and upside risk remains, as long as 1.2710 holds, mild downside bias remains for another decline, below 1.2635-40 would bring another fall towards said support but break there is needed to retain bearishness and signal recent decline has resumed for weakness towards 1.2550, however, oversold condition should limit downside to 1.2520-25.
In view of this, we are holding on to our short position entered at 1.2695. Only above 1.2720-25 would abort and suggest low has been formed instead, bring a stronger rebound to 1.2755-60 and possibly 1.2780 but price should falter below indicated strong resistance at 1.2818.
