Pound trading inside cloud
Tatiana Norkina, FBS analyst
The harsh recovery of the British currency against the American recorded earlier this week has stalled. The GBP/USD currency pair rate stumbled against the four-hour Ichimoku cloud upper border resistance and trades are continued in the cloud area today. The bulls are yet taking advantage of the golden cross formed by the Tenkan and Kijun lines, but the major trend still remains bearish: the Ichimoku cloud is negative.
A break through the cloud is obvious to trigger a change of the major trend. However, if the bulls fail to force through the 56th figure, we will expect the rate to decline into the negative area.
Technical levels: support – 1.5560; resistance – 1.5600.
1. Buy — 1.5570; SL — 1.5550; TP1 — 1.5670; TP2 — 1.5700.
2. Sell — 1.5550; SL — 1.5570; TP1 — 1.5480; TP2 — 1.5390.