Trade Idea : GBP/USD – Sell at 1.3060

GBP/USD – 1.3010

Most recent candlesticks pattern   : N/A

Trend                                 : Near term up

Tenkan-Sen level                 : 1.3006

Kijun-Sen level                    : 1.2991

Ichimoku cloud top              : 1.2993

Ichimoku cloud bottom        : 1.2979

Original strategy :

Sell at 1.3040, Target: 1.2940, Stop: 1.3075

Position : – 

Target :  –

Stop : –

New strategy  :

Sell at 1.3060, Target: 1.2960, Stop: 1.3095

Position : –

Target :  –

Stop : –

Cable found support at 1.2959 on Friday and has rebounded again, suggesting the recovery from 1.2933 may bring further gain to 1.3040, however, still reckon resistance at 1.3062 would limit upside and bring another decline later, below 1.2950-55 would signal the rebound from 1.2933 has ended, bring weakness to 1.2932-33 (61.8% Fibonacci retracement of 1.2812-1.3126 and said support), break there would extend the fall from 1.3126 top to previous support at 1.2912 but below latter level is needed to retain bearishness and bring subsequent selloff to 1.2880-85. 

In view of this, we are looking to sell cable on recovery as resistance at 1.3062 should limit upside. A firm break above resistance at 1.3062 would abort and suggest the fall from 1.3127 has ended instead, bring a stronger rebound towards 1.3090-00 but resistance at 1.3126 should remain intact.