FX.co ★ Overview of GBP/USD on June 11. The forecast for the

4-hour timeframe

Technical data:

The upper linear regression channel: direction – down.

The lower linear regression channel: direction – down.

The moving average (20; smoothed) – sideways.

CCI: -84.9382

Another package of failed macroeconomic statistics from the UK was worked out with great pleasure by traders. Bears intensified when they learned that the UK GDP in April was negative, and industrial production fell by almost 3% on a monthly basis. The most interesting thing is that the bulls on the pound/dollar pair did not buy the pound very zealously when the States "pleased" with their failed statistics for two weeks. This once again proves that the majority of traders on the analyzed instrument still looks to the South. Yesterday, we received the latest information from the UK. One of the candidates for the post of Prime Minister, Jeremy Hunt, said that the EU will be ready to revise the current agreement on the terms of Brexit. On this, as Hunt said, he hinted German Chancellor Angela Merkel. As far as this information is true, it is difficult to judge. There is no confirmation of this information from the European leaders. As part of the election campaign, any candidate can do and say anything, because the main thing – to win the election. Thus, this information may well be false. If this is really true, then for the UK this is good news and gives hope that the parties will still be able to agree before October 31, and the "divorce" will be held on the "soft" scenario, which is beneficial to both London and Brussels. Today, we encourage traders to follow the publications of the unemployment rate, the number of applications for unemployment benefits and changes in wages in the UK. If these reports will be the same failure as yesterday, the pound may continue to fall against the dollar. The fact that the pair pound/dollar overcame the moving suggests that the bearish sentiment reigned in the market.

Nearest support levels:

S1 – 1.2665

S2 – 1.2634

S3 – 1.2604

Nearest resistance levels:

R1 – 1.2695

R2 – 1.2726

R3 – 1.2756

Trading recommendations:

The pair GBP/USD overcame the moving average line, so now it is again recommended selling the pound sterling with the targets at 1.2634 and 1.2573. Fundamental information today can again support the US currency.

It is recommended to buy the pound sterling after securing the pound/dollar pair above the moving average line with the first targets at 1.2756 and 1.2787. In this case, the bulls will get a ghostly chance to form a new upward trend.

In addition to the technical picture should also take into account the fundamental data and the time of their release.

Explanation of illustrations:

The upper linear regression channel – the blue line of the unidirectional movement.

The lower linear regression channel – the purple line of the unidirectional movement.

CCI – the blue line in the indicator regression window.

The moving average (20; smoothed) is the blue line on the price chart.

Murray levels – multi-colored horizontal stripes.

Heiken Ashi is an indicator that colors bars in blue or purple.