24, February 2014

GBP/USD (a 4-hour chart)

GBP/USD (a 4-hour chart)

General Overview

The pair continues to be corrected, but very restrained, increasing the likelihood of a growth resumption from the current levels to consolidate above the resistance 1.6750 and subsequent growth to the next important resistance 1.7040.

There is a weak buy signal. The price is in growth the cloud and above the Chinkou Span.
The upward movement will be in a force as long the price is above the Kijun -sen. The Cloud is growing.

Bollinger Bands indicator points to a redirection change. Its bands are turning down.

MACD is in the positive area. The indicator is slowly decreasing.

Trading recommendations

Sellers can not push down the support 1.6600. The volumes near 1.6640 indicate weakening of sellers, however, due to the rising trend line break, the situation remains ambiguous.

As a result, the support level 1.6640 break will open the way to 1.6550.