27, February 2015

GBP/USD (a 4-hour chart)

GBP/USD (a 4-hour chart)

General overview

The pair GBP/USD maintained the market negative attitude towards the dollar, demand for British pound within the growing pair GBP/JPY amid the weakening risk aversion and demand for it within the falling euro/pound.

The British pound strengthened against the US dollar quite confidently, breaking through the strong resistance level of 1.5510 on its way. Then the pair decreased to the support level of 1.5400.

The price is finding the first support at 1.5400, the next one is 1.5300. The price is finding the first resistance at 1.5510, the next one is at 1.5620.

There is a confirmed and a strong buy signal. The price is above the Cloud and it is above the Chinkou Span. The Tenkan-sen and the Kijun-sen show a horizontal movement and form a “Golden Cross”. The upward movement will be until the price is above the Cloud.

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

Trading recommendations

The pair can grow to the resistance level of 1.5510.