Trade Idea Wrap-up: GBP/USD - Buy at 1.5390 or sell at 1.5650

GBP/USD - 1.5483

Most recent candlesticks pattern   : N/A
Trend                                 : Near term up

Tenkan-Sen level                   : 1.5477
Kijun-Sen level                     :1.5496
Ichimoku cloud top                  :1.5532
Ichimoku cloud bottom                 :1.5502

Original strategy :
Buy at 1.5390, Target: 1.5530, Stop: 1.5355
O.C.O.
Sell at 1.5650, Target: 1.5500, Stop: 1.5685
Position: -
Target:  -
Stop:-

New strategy  :
Buy at 1.5390, Target: 1.5530, Stop: 1.5355
O.C.O.
Sell at 1.5650, Target: 1.5450, Stop: 1.5685
Position: -
Target:  -
Stop:-

As the British pound retreated after last week's rise to 1.5574, suggesting a temporary top is possibly formed there and correction to 1.5433 (38.2% Fibonacci retracement of 1.5205-1.5574) is likely, however, reckon 1.5389-92 (50% Fibonacci retracement and previous resistance) would limit downside and bring another upmove later. Above upper Kumo (now at 1.5532) would bring a retest of said resistance at 1.5574, break there would extend the rise from 1.4814 low to 1.5600-10 but reckon 1.5650 (50% projection of 1.5205-1.5534 measuring from 1.5485) would limit upside and bring another retreat later.
In view of this, whilst we are still looking to buy cable on pullback, we would also turn short on further subsequent rise as 1.5650 should limit upside. Above 1.5685-90 (61.8% projection of 1.5205-1.5534 measuring from 1.5485) would risk gain to 1.5720-30 but previous chart resistance at 1.5753 should remain intact.