GBP/CAD: Ichimoku clouds

Let’s look at the four-hour chart. Tenkan-sen line is above Kijun-sen, the lines are horizontal . Confirmative line Chikou Span is below the price chart, current cloud is descending. The instrument has entered the cloud. The closest support level is the lower border of the cloud (1.64940). The closest resistance level is the lower border of the cloud (1.65440).

On the daily chart Tenkan-sen and Kijun-sen lines have merged, the blue line is directed upwards, while the red one remains horizontal. Confirmative line Chikou Span is below the price chart, current cloud is descending. The instrument has been corrected to the Tenkan-sen line. One of the previous minimums of Chikou Span line is expected to be a support level (1.63758). The closest resistance level is the upper border of the cloud (1.67248).

On the four-hour chart the instrument is trading within the cloud. On the daily chart the Bearish trend is still strong. It is recommended to open short positions at current price with the target at the level of previous minimum of Chikou Span line (1.63758) and Stop Loss at the lower border of the cloud (1.67248).


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