GBP/USD - 1.5660

Most recent candlesticks pattern : Hammer
Trend                                    : Sideways

Tenkan-Sen level                       :1.5732
Kijun-Sen level                        :1.5737
Ichimoku cloud top                     :1.5826
Ichimoku cloud bottom                 :1.5821

New strategy  : 

Sell at 1.5725, Target: 1.5605, Stop: 1.5760

Position: -
Target:  -
Stop:-

Cable’s selloff after meeting heavy selling interest right at 1.5816 signals the rebound from 1.5644 has ended at 1.5880 and retest of this level would be seen, however, break there is needed to signal early fall from 1.5929 top has resumed for a stronger retracement of recent upmove to 1.5600-05 but near term oversold condition should limit downside and reckon 1.5582 (50% Fibonacci retracement of 1.5234-1.5929) would hold on first testing, bring another rebound later.

In view of this, would not chase this move here and would be prudent to sell cable on recovery. Only above the Kijun-Sen (now at 1.5737) would suggest low is possibly formed but break of 1.5765-70 is needed to confirm, bring subsequent bounce towards 1.5800.