GBP/NZD: Ichimoku clouds 05 February 2019, 20:29

GBP/NZD: Ichimoku clouds

05 February 2019, 20:29

Scenario
Timeframe	Weekly
Recommendation	SELL
Entry Point	1.8781
Take Profit	1.8619
Stop Loss	1.8865
Key Levels	1.8602, 1.8619, 1.8661, 1.8702, 1.8752, 1.8824, 1.8865.

Let's look at the four-hour chart. Tenkan-sen line is below Kijun-sen, the blue line is directed downwards, while the red one remains horizontal. Confirmative line Chikou Span is below the price chart, current cloud is descending. The instrument is trading below Tenkan-sen and Kijun-sen lines; the Bearish trend is still strong. One of the previous minimums of Chikou Span line is expected to be a support level (1.8747). One of the previous maximums of Chikou Span line is expected to be a resistance level (1.8823).



On the daily chart Tenkan-sen line is above Kijun-sen, the red line is directed downwards, while the blue one remains horizontal. Confirmative line Chikou Span is crossing the price chart from above, current cloud is ascending. The instrument is trading around lower border of the cloud. The closest support level is the lower border of the cloud (1.8764). The closest resistance level is Kijun-sen line (1.9013).

On the both charts the instrument is still falling. It is recommended to open short positions at current price with Take Profit at the level of previous minimum of Chikou Span line (1.8619) and Stop Loss at the level of Kijun-sen line (1.8865).