GBP/USD (a 4-hour chart)
On the eve the UK 10-year government bond yields declined relative to their US and Germany counterparts which reduces the British assets investments’ attractiveness. As a matter of fact it deprives the pound strong support. The commodity market negative dynamics also plays into the bears hands. The key commodities, such as oil, copper, aluminum, natural gas are showing the downward trend which positively affects the dollar.
The pound exchange rate continues to weaken the downward movement. Bears managed to overcome the support level of 1.5200 and keep the southern direction.
The price is finding the first support at 1.5100, the next one is 1.4975. The price is finding the first resistance at 1.5200, the next one is 1.5300.
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 shows a horizontal movement and the Kijun-sen shows 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 decreasing.
We suppose the pair will go to 1.5100 first, having overcome the first target the price might go to 1.4975.