Ichimoku Analysis – GBP/USD – 5/2/2010
Ichimoku Analysis on GBP/USD
5m: Bearish – Price retrace and try to retest Kijun after Tenkan has cross Kijun earlier.Wait to enter short after price fail to retest Kijun.
15m: Bearish
30m: Bearish – Price retrace and try to retest Tenkan.
1h: Strong Bearish
4h: Strong Bearish
Daily: Strong Bearish
Weekly: Medium Bearish. Price try to break Kumo (cloud)
Action: Wait to enter short after price fail to retest Kijun on 5m chart
Trade Idea: GBP/USD – Sell At 1.6060
By Actionforex
GBP/USD – 1.6021
Most recent candlesticks pattern : N/A
Trend : Sideways
Tenkan-Sen level : 1.5968
Kijun-Sen level : 1.6063
Ichimoku cloud top : 1.6268
Ichimoku cloud bottom : 1.6178
Original strategy
Sell at 1.6060, Target: 1.5860, Stop: 1.6105
New strategy
Sell at 1.6060, Target: 1.5860, Stop: 1.6125
Although the British pound has continued to edge higher after rebounding from 1.5850 (this week’s low) and correction of recent decline to 1.6063/64 (current level of the Kijun-Sen as well as 50% Fibonacci retracement of 1.6277 to 1.5850) cannot be ruled out, reckon renewed selling interest would emerge there and bring another decline later. A break of yesterday’s low at 1.5904 would signal correction from 1.5850 has ended, then retest of this support and the recent low at 1.5832 would follow, once the latter support is penetrated, then the decline from 1.6879 should extend weakness to 1.5790/00 but previous chart point at 1.5708 should remain intact.
In view of this, we are still looking to sell cable on recovery for such a fall. Only above minor support at 1.6113 (previous support, Thursday’s low) would suggest low is in place, then correction to the Ichimoku cloud bottom (now at 1.6184) would follow.
