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GBP/USD analysis for February 04, 2019

The GBP/USD pair made a successful change in trend behavior from bullish to bearish. The key resistance at 1.3215 held successfully and the sellers started the distribution process. Short-term trend remains bearish.

analytics5c580b5950c77.png

Blue lines - bearish channel

GBP/USD is in a bearish trend making lower highs and lower lows. Price is below the Ichimoku cloud and both the tenkan- and kijun-sen indicators. Short-term support is at 1.3042. As long as we trade below the Ichimoku cloud on the H1 time – frame, the trend remains bearish.

Trading recommendation: We are short GBP/USD from 1.3052 and with the protective stop at 1.3115. The downward target is set at the price of 1.2970.

The material has been provided by InstaForex Company - www.instaforex.com