Trade Idea Wrap-up: GBP/USD – Buy at 1.3255

GBP/USD – 1.3308

Most recent candlesticks pattern   : N/A

Trend                                 : Near term up

Tenkan-Sen level                 : 1.3307

Kijun-Sen level                    : 1.3275

Ichimoku cloud top              : 1.3244

Ichimoku cloud bottom        : 1.3242

Original strategy :

Buy at 1.3270, Target: 1.3370, Stop: 1.3235

Position : –

Target :  –

Stop : –

New strategy  :

Buy at 1.3255, Target: 1.3355, Stop: 1.3220

Position : –

Target :  –

Stop : –

As cable has surged after holding above support at 1.3209 and the breach of 1.3280 resistance (now support) confirm recent upmove from 1.3039 is still in progress and may bring a test of previous resistance at 1.3338, however, break there is needed to retain bullishness and signal an upside break of recent established broad range, bring subsequent rise to 1.3370 and later towards 1.3400 but resistance at 1.3425 should hold from here. 

In view of this, would not chase this rise here and would be prudent to buy cable on pullback as 1.3250-60 should limit downside. Below the lower Kumo (now at 1.3242) would defer an suggest top is possibly formed, risk test of said support at 1.3209.