11, September 2013

GBP/USD (a 4-hour chart)

GBP/USD (a 4-hour chart)

General Overview

GBP/USD continues to grow, aiming at the highs of August. However, bulls could suffer a failure above 1.57, although there are chances of continuation of the upward trend. Bears realize that a break above 1.5750 will let the bulls aim at 1.5850 bulls and potentially 1.60 so near this resistance their activity can be expected.

The price broke the Cloud and consolidated above it. The Kijun -Sen and Tenkan -Sen are crossed in a "golden cross" on a daily chart. Both trend lines move horizontally parallel to each other. The 4 hour time frame is much the same. The price is above the Cloud being traded above its upper boundary. The cloud is growing.

Bollinger Bands shows an upward movement.
The MACD histogram left the negative zone.

Trading Recommendations

As long as GBPUSD moves in the direction of the rising trend line in the medium term, the bullish trend is still more than relevant. Bulls can still break above 1.5720, thus opening the way to 1.5800.