04, December 2015

GBP/USD (a 4-hour chart)

GBP/USD (a 4-hour chart)

General overview

The pound strengthened however earlier it was the weakest chain among other currencies. In economic news, the construction sector business activity has grown at the weakest pace for two years, still this factor just brought the Sterling downwards. The US have published the of jobless claims number. The forecast was 268 thousand; the index came in at 269K.

The pair pound/dollar fell to the support level of 1.4970, and then the downward movement continued to the level of 1.4900. The pair rebounded upwards from this level and the trades closed above the resistance level of 1.5100.

The price is finding the first support at 1.5100, the next one is at 1.5040. The price is finding the first resistance at 1.5150, the next one is at 1.5200.

The price is in the Cloud and it is under the Chinkou Span. The Tenkan-sen shows an upward movement and the Kijun-sen shows a horizontal movement.

The MACD indicator is in a negative territory. The price is correcting.

Trading recommendations

The downward movement will be continued. The pair may go to 1.5040 soon.