GBP/USD – 1.3143



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Recent wave: Wave V of larger degree wave (III) has ended at 1.1986 and major correction has commenced from there for gain to 1.3000 and 1.3140-50



Trend: Near term up



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Original strategy :
Sold at 1.3100, stopped at 1.3160
Position: – Short at 1.3100


Target:Â –


Stop: – 1.3160



New strategy :
Stand aside
Position: – 


Target: – 


Stop:- 


Cable has surged again and broke above previous resistance at 1.3126, confirming recent upmove has finally resumed and upside risk remains for further gain to 1.3190-00, however, as this move is still viewed as the final wave v of larger degree wave C, reckon upside would be limited to 1.3240-50 and price should falter below 1.3300-10, then sterling shall retreat sharply from there.
Our preferred count on the daily chart is that cable’s rebound from 1.3500 (wave (A) trough) is unfolding as a wave (B) with A ended at 1.7043, followed by triangle wave B and wave C as well as wave (B) has ended at 1.7192, the subsequent selloff is the larger degree wave (C) which is still unfolding with minor wave (III) of larger degree wave 3 ended at 1.1986, hence wave (IV) correction is in progress which could either be a triangle wave (IV) of a complex formation but upside should be limited to 1.3500 and price should falter well below 1.4000, bring another decline in wave (V) of 3 for weakness to 1.1500, then 1.1200. 

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On the downside, whilst pullback to 1.3090-00 cannot be ruled out, below 1.3060-65 is needed to signal a temporary top is possibly formed, bring weakness to 1.3030 but break of support at 1.2999 is needed to provide confirmation, bring retracement of recent rise to 1.2980, then 1.2950-55 but previous support at 1.2933 should hold from here. 

