GBP/USD – 1.3023
Most recent candlesticks pattern : N/A
Trend : Near term down
Tenkan-Sen level : 1.3037
Kijun-Sen level : 1.3037
Ichimoku cloud top : 1.3162
Ichimoku cloud bottom : 1.3110
Original strategy :
Sell at 1.3110, Target: 1.3010, Stop: 1.3145
Position : –
Target : –
Stop : –
New strategy :
Sell at 1.3110, Target: 1.3010, Stop: 1.3145
Position : –
Target : –
Stop : –
As cable has remained under pressure after last week’s selloff from 1.3269 top, adding credence to our bearish view for this fall to bring retracement of recent upmove, hence bearishness remains for further decline to 1.3005-10 (100% projection of 1.3269-1.3112 measuring from 1.3165) but a break below support at 1.2999 is needed to retain bearishness, then subsequent fall to 1.2986 (61.8% Fibonacci retracement of 1.2812-1.3269) and possibly 1.2955-60 would follow.
In view of this, we are looking to sell cable on recovery as previous support at 1.3112 should limit upside. Only break of 1.3165 is needed to signal low is formed instead, bring a stronger rebound to 1.3200 but upside should be limited to 1.3240-50 and price should falter below said resistance at 1.3269.
