GBP/USD – 1.3100
Most recent candlesticks pattern : N/A
Trend : Near term down
Tenkan-Sen level : 1.3090
Kijun-Sen level : 1.3146
Ichimoku cloud top : 1.3159
Ichimoku cloud bottom : 1.3150
New strategy :
Stand aside
Position : –
Target : –
Stop : –
Despite rising briefly to 1.3230 on Friday, lack of follow through buying and the subsequent retreat suggest further choppy trading would be seen and weakness towards 1.3050-55 cannot be ruled out, however, break there is needed to revive bearishness and signal the rebound from 1.3039 has ended, bring test of indicated strong support area at 1.3027-39, only break there would confirm decline has resumed for further fall to psychological support at 1.3000.
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 1.3146) would prolong choppy trading and bring recovery to 1.3180-90 but said resistance at 1.3230 would hold from here, bring further consolidation. Above said resistance at 1.3230 would extend the erratic rise from 1.3039 to 1.3250, then 1.3275-80.
