EUR/GBP: Ichimoku clouds 29 March 2018, 22:23

EUR/GBP: Ichimoku clouds

29 March 2018, 22:23

Scenario
Timeframe	Intraday
Recommendation	SELL
Entry Point	0.8767
Take Profit	0.8725
Stop Loss	0.8779
Key Levels	0.8725, 0.8741, 0.8779

Let's look at the four-hour chart. Tenkan-sen and Kijun-sen lines have merged, the lines are horizontal . Confirmative line Chikou Span has crossed the price chart from below, current cloud is going to reverse from descending to ascending. The instrument is trading around upper border of the cloud. The closest support level is Kijun-sen line (0.8753). The closest resistance level is the lower border of the cloud (0.8775).



On the daily chart Tenkan-sen line is below Kijun-sen, the red line is directed downwards, while the blue one remains horizontal. Confirmative line Chikou Span is approaching the price chart from below, current cloud has reversed from ascending to descending. The instrument is trading between Tenkan-sen and Kijun-sen lines. The closest support level is Tenkan-sen line (0.8741). The closest resistance level is the upper border of the cloud (0.8779).

On the four-hour chart the instrument is trading within the cloud. On the daily chart we can see a correction of the downward movement. It is recommended to open short positions at current price with the target at the level of previous minimum of Chikou Span line (0.8725) and Stop Loss at the lower border of the cloud (0.8779).