01, May 2014

GBP/USD (a 4-hour chart)

GBP/USD (a 4-hour chart)

General Overview

The upward trend remains actual despite the GBP negative yield fundamental data. The news came below the forecast, but above the "previous" value. In general, the fundamental picture remains on the side of the bulls.

What about the technical side, buyers managed to break above the strong resistance level 1.6830, above which the trading is continuing. The volume near the level is still located in the strong zone.

The support is 1.6850, and the next one is 1.6800. The resistance is 1.6900.

There is a strong and confirmed buy signal. The price is above the Cloud and above the Chinkou Span.

The upward movement will be continued as long the price is below the Kijun-Sen.

The MACD histogram is pointing up, indicating the current upward price movement.

Trading Recommendations

To continue the bullish trend buyers need to consolidate above the resistance level 1.6830. This breakthrough opens the way to 1.6900, 1.6950, 1.7000.