08, April 2013

GBP/USD (a 4-hour chart)

GBP/USD (a 4-hour chart)

General overview

The pair continues to trade above the cloud. The pair is unstable and may form a new "golden cross" soon.

The sell signal is weak as Chinkou span entrenched above the price and the price is trading above the cloud. The Tenkan-Sen line is above the Kijun-Sen. Tenkan-Sen is going up, the Kijun-Sen is horizontal. The Cloud is growing up.

Bollinger Bands extended and directed upward. The indicator indicates the upward movement.

MACD is above a zero line, and does not allow to consider short positions, if it turns down that could become a signal of the completion of the upward correction.

Trading recommendations

The pair is consolidating after last week rising. If the correction continues the pair will grow to the level 1.5460, but not before the pair is fixed at 1.5360.

In case of turn back the pair will move to the level 1.5250. The next support level is 1.5180.