26, November 2015

GBP/USD (a 4-hour chart)

GBP/USD (a 4-hour chart)

General overview

The UK/US and Germany credit markets spreads have stabilized after the week of contraction. The US traders left the market for a long weekend amid the Thanksgiving national holiday.

There was a strong support level of 1.5100 breakthrough. Sellers broke through but could not fixate below. This level was broken upwards.

The price is finding the first support at 1.5100, the next one is 1.5040. The price is finding the first resistance at 1.5150, the next one is at 1.5200.

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 and the Kijun-sen show a downward movement. The downward movement will be until the price is under the Cloud.

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

Trading recommendations

The downward movement will be continued. The pair may go to 1.5040 soon.