26, March 2013

GBP/USD (a 4-hour chart)

GBP/USD (a 4-hour chart)

General overview

The pair is being traded above the Ichimoku cloud. The buy signal is a strong and confirmed.

The Tenkan-Sen line is above the Kijun-Sen. Tenkan-Sen and Kijun-Sen are horizontal. The Cloud is growing.

Yesterday there was a correction. The pair retreated to the level 1.5180. If the north movement resumes the pair will go again to the resistance level 1.5250. After consolidating at this level, the pair will continue growing to 1.5360.

Bollinger indicator shows divergence in the lines. The price dropped and stopped on the middle line of the indicator from which is going to push off to move up.

MACD is above zero. It generates a divergence with the signal line, which could mean a fall in the near term.

Trading recommendations

In case of further price correction will fall to the level 1.5145.

If the pair returned to the northern movement, its goal will be 1.5180, then 1.5255.

When the price moves we should move and stop-loss level. When we get profit of 20-30 points stop loss should be placed into the break even.

When you open positions consider the fundamental analysis and the time of its release as well.