Even after the end of the corrective wave (2) around 1.3384, the cable is still reluctant to pick a momentum to he upper side. We expected a possible rebound from 1.3384 to buy the impulsive wave (3) to the upper side, but as it appears, the cable could consolidate around this zone before eventually picking a momentum to the upper side. But as at the moment, we expect consolations as we wait for a clear indication that the bulls are now taking control. This pair should be traded alongside GBPAUD, NZDUSD, AUDUD and CADJPY. Other than the latter the last three have a strong positive correlation and will move in the same direction during this intraday.
Trade Recommendations:
Look for a long position around 1.3384 with an ideal target at 1.1.4463
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