05, January 2016

GBP/USD (a 4-hour chart)

GBP/USD (a 4-hour chart)

General overview

The Cable is still under strong "bearish" pressure amid the UK economy weak forecasts and the negative prospects for the Bank of England interest rates growth.

The price is finding the first support at 1.4700, the next one is at 1.4630. The price is finding the first resistance at 1.4760, the next one is at 1.4830.

There is a confirmed and a strong sell signal. The Sterling is below the Ichimoku Cloud and it is under the Chinkou Span. The Tenkan-sen shows a downward movement and the Kijun-sen shows a horizontal movement. The downward movement will be until the price is below the Cloud.

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

Trading recommendations

We suppose the pair will go to 1.4760 first. Having overcome the first target the price might go upwards to 1.4830.