26, March 2015

GBP/USD (a 4-hour chart)

GBP/USD (a 4-hour chart)

General overview

We expect the US durable goods orders publication. American consumers are now set to save more than spend and in this regard it is difficult to count on the strong data. We still cannot count on the strong quotations growth. The pair EUR/GBP cross-rate quotations growth amid the UK and Germany negative bond yields reduction had a negative impact on the pound.

The pair rebound from the resistance level of 1.4920 led to the consolidation formation.

The price is finding the first support at 1.4800, the next one is 1.4650. The price is finding the first resistance at 1.4920, the next one is at 1.5015.

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

The MACD histogram is in a neutral territory. The price is correcting.

Trading recommendations

The sellers need to break below 1.4800 for a steady decrease. The way to the mark 1.4650 will be opened after this breakthrough.