GBP/USD: weekly Ichimoku analysis
Tatiana Norkina, FBS analyst
Daily. The overbought market conditions don't let the bullish scenario develop. This week the pair was bound to decline into the 1.6950 area, but found support at the Tenkan-sen line. Pound strengthened to the $1.7040 mark by the end of the week, maintaining the positive sentiment. However, the buyers have to be careful: next week the Chinkou Span will return into the overbought area.
Chart. Daily GBP/USD
H4. Bulls are dominating on the H4 chart. Bearish correction at the beginning of the week was stopped by the upper border of the Cloud. After feeling this support the bulls resumed buying and broke above the horizontal Kijun line in the 1.7000 area. Tenkan and Kijun lines formed a golden cross, that could help the buyers in a short-term prospect.
Chart. H4 GBP/USD