29, April 2014

GBP/USD (a 4-hour chart)

GBP/USD (a 4-hour chart)

General Overview

The long-term upward trend for the British pound moved into a side corridor. The continuous GBP growth versus the USD over the past two months was not supported by the volumes, but the traders still managed to reach and get a strong foothold above the 1.6760 resistance level.

The support is 1.6800, and the next one is 1.6730. The resistance is 1.6850.
There is a strong and confirmed buy signal. The price is above the Cloud and above the Chinkou Span.

The upward movement will be continued as long the price is below the Kijun-Sen.

The MACD histogram is at zero area, indicating the current corrective price movement.

Trading Recommendations

The price is above the rising trendline support level 1.6780 and 1.6760. The basic price levels support the price growth, the “bulls” remain in force to continue the upward trend. The nearest potential growth target is the resistance level 1.6900. This mark up break will open the way to 1.7000.