02, May 2014

GBP/USD (a 4-hour chart)

GBP/USD (a 4-hour chart)

General Overview

The sloping resistance line 1.6865 breakthrough together with the resistance level 1.6830 happened. The trading continues above the 1.6865 level. The pound such a strong growth versus the U.S. dollar increase is confirmed with rising volumes. The upward trend is still more than relevant.

The fundamental data yield continued for GBP. The following news came out (house price index, manufacturing activity index), which will serve as an additional “driver” for the uptrend.

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 above the Kijun-Sen.

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

Trading Recommendations

Due to the fact that the basic levels are punched up, the way to 1.6950, 1.7000 levels was opened for the traders.