04, December 2014

GBP/USD (a 4-hour chart)

GBP/USD (a 4-hour chart)

General overview

Markit Economics the center of macroeconomic research will publish the UK final release - this time we will receive the services sector business activity data. The UK average salary increase points out to the increased consumer activity, but the GfK consumer confidence indicator does not confirm such a positive picture. The level of 1.5660 is a strong support that was rebounding sellers upwards the whole last month. The pair is trading above this level now.

The price is finding the first support at 1.5660, the next one is at 1.5550. The price is finding the first resistance at 1.5870, the next one is at 1.5950.

There is a confirmed and a weak sell signal. The price is under the Cloud and it is under the Chinkou Span. The Tenkan-sen and the Kijun-sen show a downward movement. The downward movement will be until the price is under the Cloud.

The MACD histogram is in a neutral territory. The price is correcting.

Trading recommendations

After the trend line 1.5660 breakthrough down the way to the support 1.5550 will be opened.