10, June 2015

GBP/USD (a 4-hour chart)

GBP/USD (a 4-hour chart)

General overview

We expected the trade balance release would not be able to please the traders with strong data. The release showed -1.202B.

The pound revaluation against the euro together with the manufacturing sector weakness point to that the data will not be very delightful. The UK government bond yields declined to their counterparts from the US and Germany that might also put pressure on the "cable".

We did not get the downward trend continuation yesterday. The price corrected upwards to 1.5390 on the low volumes. The level of 1.5550 plays the role of the key resistance.

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 at 1.5460.

The price is in the Cloud and it is below the Chinkou Span. The Tenkan-sen and the Kijun-sen show a horizontal movement.

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

Trading recommendations

The buyers need to break above 1.5390 for a steady growth. The way to the marks 1.5460, 1.5550 will be opened after this breakthrough.