09, September 2015

GBP/USD (a 4-hour chart)

GBP/USD (a 4-hour chart)

General overview

The US unemployment rate has fallen by 0.5% since the beginning of this year while the UK unemployment rate has fallen by 0.1%. The Brent crude oil is below the psychological level of $ 50/barrel. Considering the negative fundamental background we expect new sales wave in the short term that will also support the US currency.

Meanwhile the pound exchange rate fixated above the critical line 1.5200. The pair showed a strong growth and broke through the level of 1.5300. the level of 1.5390 was tested.

The price is finding the first support at 1.5300, the next one is 1.5200. The price is finding the first resistance at 1.5390, the next one is 1.5460.

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 and form a “Golden Cross”.

The MACD histogram is in a positive territory. The price is consolidating.

Trading recommendations

The buyers need to break above 1.5460 for a steady growth. The way to the mark 1.5550 will be opened after this breakthrough.