13, March 2013

GBP/USD (a 4-hour chart)

GBP/USD (4-х часовой график)

General overview

The pound continues to fall reaching new local minimums. However, despite the negative macroeconomic news bears do not have much power, technically the pair is ready to reverse. Still whether it will happen or not we will see soon.

As for now the market shows the negative information that does not promise anything positive to it.

Our short-term forecast - the pound will stay in a flat or continue a downward movement.

We have a strong sell signal. The pair stayed at almost one level yesterday.

The market is bearish. The pair is below the Kijun-Sen (1.4954). The Chinkou Span is above the price, the Ichimoku cloud is directed down.

The Bollinger middle line is going downward. Its range is constantly expanding. The indicator does not contradict the downtrend.

MACD is trying to generate a buy signal.

Trading recommendations

The market is bearish. The first goal of the southern movement is the level 1.4800. We expect a short stay at this level before the pound goes down. The next target is 1.4687.

Stop loss can be placed above 1.5100. Take Profit can be placed just above the target levels.