Trade Idea: GBP/USD - Sell at 1.6835

GBP/USD - 1.6705

Most recent candlesticks pattern : N/A
Trend : Sideways

Tenkan-Sen level : 1.6846
Kijun-Sen level : 1.6860
Ichimoku cloud top : 1.6592
Ichimoku cloud bottom : 1.6545

New strategy : Sell at 1.6835, Target: 1.6660, Stop: 1.6895

The British pound slipped again after intra-day brief bounce to 1.6837, however, as cross-trading in sterling limited cable's downside to 1.6677 so far, suggesting minor consolidation would take place, however, renewed selling should emerge below the Tenkan-Sen (now at 1.6846) and bring another decline, below said support would bring correction of recent rise towards 1.6639 (38.2% Fibonacci retracement of intermediate rise from 1.5983 to 1.7044). However, reckon support at 1.6587 (previous resistance and also just below current level of the Ichimoku cloud top at 1.6592) would hold from here.

In view of the above analysis, we are looking to sell cable on recovery. Above 1.6889 (previous minor support turned resistance) would abort and risk stronger rebound to 1.6940/50.