Trade Idea: GBP/USD – Stand aside

Most recent candlesticks pattern : N/A Trend : Sideways

Tenkan-Sen level :1.4917 Kijun-Sen level :1.4862 Ichimoku cloud top :1.4887 Ichimoku cloud bottom :1.4765

New strategy :

Stand aside

The British pound jumped overnight to as high as 1.5005, however, as cable then retreated again from there to an intra-day low of 1.4861, suggesting further choppy consolidation within 1.4720-1.5054 range would take place in the near term. As price has recovered after finding support around the Kijun-Sen (now at 1.4862), suggesting recovery to 1.4960/70 cannot be ruled out, however, only break of yesterday's high at 1.5005 would extend gain towards said upper range at 1.5054, otherwise, choppy consolidation would continue.

A breach below intra-day support at 1.4861 (this would also penetrate the Kijun-Sen) would bring weakness to 1.4829 (61.8% Fibonacci retracement of 1.4720 to 1.5005) and then 1.4785/90, however, reckon said support at 1.4720 would hold from here.

As near term outlook is mixed, stand aside in the meantime.