Ichimoku cloud analysis: GBP/USD, Brent, USD/JPY
|GBP/USD, “Great Britain Pound vs US Dollar”
GBP/USD is rebounding from the signal lines of the indicator. The instrument is going above the Ichimoku Cloud, which suggests an uptrend. A test of the upper boundary of the Cloud at 1.2485 is expected, followed by a rise to 1.2675. An additional signal confirming the rise will be a rebound from the lower boundary of the bullish channel. The scenario can be cancelled by a breakout of the lower boundary of the Cloud with the price finding a foothold under 1.2325, which will mean a further decline to 1.2235.
Brent
Brent is correcting by forming an inverted Head and Shoulders reversal pattern. The instrument is going above the Ichimoku Cloud, which suggests an uptrend. A test of the upper boundary of the Cloud at 80.35 is expected, followed by a rise to 89.50. An additional signal confirming the rise will be a rebound from the upper boundary of the bearish channel. The scenario can be cancelled by a breakout of the lower boundary of the Cloud with the price finding a foothold under 77.25, which will mean a further decline to 73.55. Meanwhile, the growth could be confirmed by a breakout of the neck line of the Head and Shoulders reversal pattern with the price finding a foothold above 81.05.
USD/JPY, “US Dollar vs Japanese Yen”
USD/JPY has secured under the Tenkan-Sen line. The instrument is going below the Ichimoku Cloud, which suggests a downtrend. A test of the lower boundary of the Cloud at 149.45 is expected, followed by a decline to 147.35. An additional signal confirming the decline will be a rebound from the upper boundary of the Double Top pattern. The scenario can be cancelled by a breakout of the upper boundary of the Cloud with the price finding a foothold above 150.25, which will mean further growth to 151.15. Meanwhile, the decline could be confirmed by a breakout of the lower boundary of the reversal Double Top pattern with the price finding a foothold under 148.55.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.