GBP/USD – 1.2940
Most recent candlesticks pattern : N/A
Trend : Near term up
Tenkan-Sen level : 1.2952
Kijun-Sen level : 1.2946
Ichimoku cloud top : 1.2888
Ichimoku cloud bottom : 1.2865
Original strategy :
Buy at 1.2900, Target: 1.3000, Stop: 1.2865
Position : –
Target : –
Stop : –
New strategy :
Buy at 1.2880, Target: 1.2980, Stop: 1.2845
Position : –
Target : –
Stop : –
As cable has eased after intra-day rise to 1.2979, suggesting minor consolidation below this level would be seen and pullback to 1.2920 and then 1.2900 cannot be ruled out, however, still reckon support at 1.2873 would contain downside and bring another rise later, above said resistance would add credence to our view that a temporary low has been formed at 1.2774 last week and extend this rise for retracement of recent decline to 1.3000 and later towards previous resistance at 1.3032 which is likely to hold from here.
In view of this, we are looking to buy sterling on pullback as support at 1.2873 should limit downside. Below the lower Kumo (now at 1.2865) would defer and signal first leg of upmove from 1.2774 has ended, risk weakness to 1.2840-45 but support at 1.2813 should remain intact, bring another rebound later.
