GBP/USD: Ichimoku analysis (June 13)
Daily. During the past week the currency pair has not just tested the Kijun line, but managed to break above the resistance of $1.6840 rushing to the May highs at $1.6980. The Ichimoku indicator is being rebuilt on this timeframe: Tenkan and Kijun lines began forming a gold cross, and the Cloud started expanding upward, confirming the presence of buyers in the market. Obviously, we should expect the pound to renew highs. Then there may be a correction to $1.6900.
Chart. Daily GBP/USD
At H4 the pair was moving to the lower limit of the Ichimoku Сloud before it started to grow. Then the bulls managed to break above the upper boundary. Tenkan and Kijun formed a Golden Cross, and switched the Cloud to bullish. For now all the indicator lines are directed upwards, but it’s obvious that without a correction the pair won’t be able to get higher as Chinkou Span is in the overbought area.
Chart. H4 GBP/USD