15, March 2016

GBP/USD (a 4-hour chart)

GBP/USD (a 4-hour chart)

General overview

Brexit Risks will keep pressuring the pair. This week we will see whether revenues are growing, as the market expected. The budget is likely to be weak key event and we wait for Bank of England's comments regarding service sector.

The price is finding the first support at 1.4240, the next one is at 1.4160. The price is finding the first resistance at 1.4320, the next one is at 1.4400.

There is a confirmed and a strong buy signal. The price is above the Ichimoku Cloud and it is above the Chinkou Span. The Tenkan-sen and the Kijun-sen show a horizontal movement. The upward movement will be until the price is above the Cloud.

The MACD indicator is in a positive territory. The price is correcting.

Trading recommendations

We suppose the pair will go to 1.4240 first. Having overcome the first target the price might go downwards to 1.4160.