Today we’ll analyze the technical chart of EURGBP currency pair with Japanese Ichimoku, Doda-Donchian and Doda-Bollinger Band indicator.
Time frame taken is H4.
From about beginning of this month, it started its downtrend when it crossed and closed below 0.8107. That was the first signal of its weakness.
Thereafter, it continued its downward journey to touch the low of 0.7958 on 15-June-2014. From there it bounced back to the current level of 0.8021.
Now, it’s clear from the chart, that the currency price is trading inside kumo of Ichimoku indicator. Kumo is a NO trade zone. So, we’ll not take any call till the price is inside the kumo.
It should either close above or close below the chart to start fresh uptrend or fresh downtrend respect.
The chances of break-out on upside is more looking at technical indicators. But for that, it may take some support near 0.8007 first and then it will close above 0.8022. 0.8061 is the first target.
Major support Levels:
Major Resistance Levels:
Also, keep 0.7988 the major game changer level. Above this level, take only buy call. Below this level, take only sell call. This major pivot level is for this week only.
Will discuss the same chart next week too.