11, August 2015

GBP/USD (a 4-hour chart)

GBP/USD (a 4-hour chart)

General overview

The first day of the week has passed in the absence of any important statistics. The market reacted only on the Federal Open Market Committee members Fisher and Lockhart speeches. Both members support the early rate hike at least twice before the end of the year. So it was expected quite harsh rhetoric. Investors are waiting for the UK labor market indicators which are scheduled for Wednesday.

The pair GBP/USD is consolidating above the strong support level of 1.5460. then the pair broke through the resistance level of 1.5550.

The price is finding the first support at 1.5550, the next one is 1.5460. The price is finding the first resistance at 1.5670, the next one is 1.5775.

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

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

Trading recommendations

When the price consolidates it may go downwards. The potential decrease targets are two levels of support: 1.5550 and 1.5460.