Trader, analyst and instructor with a 6-year experience

GBP/USD: Ichimoku analysis

Daily. This week the British pound has renewed highs, recovering to 1.5960 on Monday. Note that this is above the 2013 February high. The daily picture remains bullish. Ichimoku Cloud is rising, Senkou Span A and Senkou Span B are set for further growth. It means that the long-term prospects for the currency pair are bright. In addition, pay attention to the "golden cross" (C), which contributes to the bullish view. However, there is a negative point - Chinkou Span is overbought. There is a chance for a short-term correction. Support is around 1.5730-1.5750.


Chart. H4 GBP/USD

H4. The H4 chart also confirms the possibility of a market correction in the downward direction, despite the relatively positive Ichimoku sentiment (Tenkan-Sen and Senkou Span A are directed upwards). So, Chinkou span is gradually moving into the overbought territory, and the pair is already below the Tenkan line (TS). Fix below can be interpreted as a bearish dominance on the short-term market. In this case, we should expect prices to decline and to test the support line Kijun-Sen (KS) at the level of 1.5870.


Chart. H4 GBP/USD

Tatiana Norkina for FX Bazooka

Scroll to top