GBPUSD: weekly review (05/12)
Tatiana Norkina, analyst at FBS
1.5600 support still doesn’t pass bears to new lows. Consolidation above this level keeps going on for almost a month. The Tenkan-Kijun channel has narrowed within this period due to decrease of the Kijun line. It’s possible that there may appear a jump of the exchange rate to the 58th figure area only on purpose of corrective recovery. Herewith, the main downtrend is still powerful.
Chart. Daily GBP/USD
H4. The currency pair was traded mostly below the Ichimoku Cloud at the four-hour timeframe. Bullish attempt to overcome this resistance at the beginning of the week has failed, though it is also difficult for bears to break such a strong support. The attention should be paid to the Dead Cross’s foundation character - Tenkan and Kijun lines turned up. That is to say, despite of the cloud’s negative character short-term bulls can attack again.