17, April 2015

GBP/USD (a 4-hour chart)

GBP/USD (a 4-hour chart)

General overview

The UK will not please traders with the interesting macroeconomic releases. The oil quotations strong growth after the US stocks reduction cheered bulls to long. It is also worth noting the fact that there was the UK bond yields increase relative to their US and Germany counterparts which is also a positive factor for the British pound.

The formed price increase was at the higher volumes and reached the resistance level of 1.4920, that was broken through.

The price is finding the first support at 1.4920, the next one is 1.4800. The price is finding the first resistance at 1.5015, the next one is at 1.5100.

There is a confirmed and a strong buy signal. The price is above the Cloud and it is above the Chinkou Span. The Tenkan-sen and the Kijun-sen show an upward movement and form a “Golden Cross”. The upward movement will be until the price is under the Cloud.

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

Trading recommendations

The price is likely to go to the support level of 1.4800. After breaking 1.4800 the sellers may go to 1.4650.