GBP/USD – 1.2908
Most recent candlesticks pattern  : N/A
Trend                                : Near term up
Tenkan-Sen level                : 1.2918
Kijun-Sen level                   : 1.2908
Ichimoku cloud top             : 1.2937
Ichimoku cloud bottom       : 1.2926
Original strategy :
Buy at 1.2855, Target: 1.2955, Stop: 1.2820
Position : –
Target :Â –
Stop : –
New strategy :
Buy at 1.2855, Target: 1.2955, Stop: 1.2820
Position : –
Target :Â –
Stop : –
Although cable rebounded after finding support at 1.2878 yesterday, as the retreat from 1.2979 suggests a temporary top has been formed there, reckon upside would be limited to 1.2940 and downside risk remains for another fall to 1.2873 support, however, renewed buying interest should emerge around 1.2852-55 (61.8% Fibonacci retracement of 1.2774-1.2979) and bring rebound later, above 1.2955-60 would signal the retreat from 1.2979 has ended, bring retest of this level, break there would extend recent rise from 1.2774 (last week’s low) to 1.3000, then towards previous resistance at 1.3032 which is likely to hold from here.
In view of this, we are looking to buy sterling on further pullback as 1.2852-55 should limit downside. Below previous resistance at 1.2837 would defer and signal first leg of upmove from 1.2774 has ended, risk weakness to support at 1.2813 but price should stay well above support at 1.2774, bring another rebound later.Â
