GBP/USD – 1.2165
New strategy :
Stand aside
Position : –
Target : –
Stop : –
Although cable has fallen again after brief recovery and near term downside risk remains for recent decline to extend further weakness to 1.2150, loss of near term downward momentum should prevent sharp fall below 1.2100-10 and reckon 1.2070-75 would hold from here, risk from there has increased for a rebound to take place later.
In view of this, would not chase this fall here and would be prudent to stand aside in the meantime. Above the Kijun-Sen (now at 1.2193) would bring test of 1.2210-15, however, break there is needed to signal an intra-day low is formed, bring correction to the Ichimoku cloud (now at 1.2246-58) but price should falter well below resistance at 1.2301 and bring another selloff.
