21, December 2015

GBP/USD (a 4-hour chart)

 GBP/USD (a 4-hour chart)

General overview

The dollar purchases continue to “put pressure” to the low oil prices which fell downwards to the long-term lows. Prices have not been able to receive tangible support after the UK retail sales strong publication. Last month the index recovered by 1.7% m / m and 5.0% y / y from -0.5% and 4.2% previously.

The price is finding the first support at 1.4830, the next one is at 1.4760. The price is finding the first resistance at 1.4900, the next one is at 1.4970.

There is a confirmed and a strong sell signal. The price is under the Cloud and it is under the Chinkou Span. The Tenkan-sen shows a downward movement and the Kijun-sen shows a horizontal movement. The downward movement will be until the price is under the Cloud.

The MACD indicator is in a negative territory. The price is decreasing.

Trading recommendations

The downward movement will be continued. The pair may go to 1.4830 soon. The next target is the support level of 1.4760.