Let’s look at the four-hour chart. Tenkan-sen line is above Kijun-sen, both lines are directed steeply up. Chinkou Span line is above the price chart; current cloud has reversed from descending to ascending. The pair has broken through the cloud and is trying to consolidate above its upper border (0.7543). The next obstacle for the price on its way up will be one of the previous minimums of Chinkou Span line (0.7661).
On the daily chart Tenkan-sen is above Kijun-sen, the blue line remains horizontal, while the red one is turning down. Chinkou Span line is crossing the price chart from below; current cloud has reversed from descending to ascending. The pair has broken through the cloud and is still rising towards 0.7654. The upper border of the cloud is going to be a support level (0.7532).
Support levels: 0.7543, 0.7532.
Resistance levels: 0.7661, 0.7654.
On the both charts the price has broken through the cloud, which is a strong signal to buy. First target for the long positions will be around 0.7654.
Analytics by LiteForex Investments LimitedPublication source