GBP/USD analysis for February 05, 2019

analytics5c59658e31b97.png

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 and we are still holding our short position.

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 plus below the pivot level (1.3054) and yesterday's low (1.3028). As long as we trade below the Ichimoku cloud on the H1 time – frame, the trend remains bearish.

Trading recommendation: We are still short on GBP/USD from 1.3052 but we secured our position on breakeven (SL moved to entry level 1.3052). The downward target is set at the price of 1.2965.

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