GBP/USD: expecting new lows
Tatiana Norkina, FBS analyst
By the end of the week, the currency pair has consolidated inside the Tenkan-Kijun channel, letting the bulls this morning test the resistance formed by the upper border of the channel - the Kijun-sen line.
The pair recovery has been supported by the oscillators as well. Thus, the MACD histogram has grown up to the zero mark, and the RSI line - to the middle of the range.
However, the main downtrend is still in effect, since the active dead cross keeps the Ichimoku cloud bearish. Let us not rule out a short-term break through the Kijun-sen resistance and testing of a lower cloud border. But then, the bears will be obvious to try and update the lows of the previous week.
Technical levels: support – 1.5500, 1.5530; resistance – 1.5580, 1.5610.
1. Sell — 1.5570; SL — 1.5610; TP1 — 1.5500; TP2 — 1.5410.