24, July 2013

GBP/USD (a 4-hour chart)

GBP/USD (a 4-hour chart)

General Overview

The upward movement continues. The price broke 1.5300 the day before yesterday and keeps growing to 1.5440 now. Should the pair overcome this target the upward movement may continue growing to the second resistance level 1.5600.

The upward movement is maintained as long as the price is above the Kijun-Sen. The Kijun-Sen and Tenkan-Sen are directed upwards. The price is above Kijun-Sen and Tenkan-Sen The Cloud is growing.

Bollinger Bands indicator shows an upward movement, the bands are directed up.
MACD is in a positive area.

Trading Recommendations

The British pound continued to strengthen rapidly against the U.S. currency. The support is the local level 1.5300. The RSI, momentum и Stochastic indicator are overbought signaling their possible discharge. In this case, we can expect a slight correction of the pair then we can have a reinforcement . In case of breaking 1.5440, the strengthening of the pound will be continued in area 1.5750.