GBP/USD – 1.3313
Original strategy :
Bought at 1.3250, Target: 1.3350, Stop: 1.3215
Position : – Long at 1.3250
Target :Â – 1.3350
Stop : – 1.3215
New strategy :
Hold long entered at 1.3250, Target: 1.3350, Stop: 1.3245
Position : – Long at 1.3250
Target :Â – 1.3350
Stop : – 1.3245
As the British pound found renewed buying interest at 1.3121 yesterday and has rallied, suggesting the rise from 1.3027 low is still in progress, hence consolidation with upside bias is seen for this move to bring a stronger retracement of recent decline, hence gain to 1.3345-50 would be seen, however, near term overbought condition should limit upside to 1.3375-80 (61.8% Fibonacci retracement of 1.3596-1.3027) and 1.3400 should hold from here.
In view of this, we are holding on to our long position entered at 1.3250. Below 1.3245 would defer and risk test of the Kijun-Sen (now at 1.3223), break there would defer and suggest an intra-day top is formed, bring weakness to 1.3200, then towards 1.3175 but said support at 1.3121 should remain intact.Â
