GBP/USD – 1.2788
Most recent candlesticks pattern : N/A
Trend : Near term up
Tenkan-Sen level : 1.2821
Kijun-Sen level : 1.2829
Ichimoku cloud top : 1.2641
Ichimoku cloud bottom : 1.2637
Original strategy :
Buy at 1.2720, Target: 1.2850, Stop: 1.2685
Position : –
Target : –
Stop : –
New strategy :
Buy at 1.2710, Target: 1.2850, Stop: 1.2675
Position : –
Target : –
Stop : –
Yesterday’s rally from 1.2515 to 1.2906 signals recent upmove from 1.1986 low is still in progress and although price has retreated from 1.2906, reckon downside would be limited to 1.2700-10 (50% Fibonacci retracement of 1.2515-1.2906) and bring another rise later, above 1.2855-60 would signal the retreat from 1.2906 has ended, bring retest of this resistance, break there would extend recent rise to 1.2920-30 (2 times extension of 1.2365-1.2575 measuring from 1.2500), then 1.2950 but loss of near term upward momentum should prevent sharp move beyond 1.2990-00 (1.236 times projection of 1.2109-1.2616 measuring from 1.2365 and psychological resistance).
In view of this, would not chase this rise here and would be prudent to buy cable on subsequent pullback as price should stay above 1.2700-10, bring another rise later. Below 1.2690-00 would defer and risk correction to 1.2660-65 (61.8% Fibonacci retracement of 1.2515-1.2906) but price should stay well above 1.2608-16 (previous resistance now support), bring another upmove.
