Pound expecting elections
Tatiana Norkina, FBS analyst
The upcoming elections in Britain are making traders stick to a cautious strategy on the GBP/USD currency pair. The two-day consolidation above the 51st figure ended in a victory of the bulls who confidently broke up through the downward Tenkan-sen line resistance yesterday. Trades have moved inside the Tenkan-Kijun channel, thus conditioning flat market in the medium term.
Obviously, the bulls might risk to test the Kijun-sen line level in the 1.5270/80 area in the near future, which will be followed by the resumption of trades inside the cloud.
Technical levels: support – 1.5100, 1.5150; resistance – 1.5280, 1.5300.
Trade recommendations: outside the market.