There is no doubt that the big picture for GBPUSD is one that is rising. It had been rising since May last year. Recently, the rising trend seems to slow down. The price has been hovering around 1.416 for about a month. Does this mean that a turn is coming?
Although it looks like the price is losing momentum, an ascending triangle is being created. The process has already taken 80 hours, and the wave is apparent here. As we know, an ascending triangle is a bullish signal, but it’s not enough.
MACD is still showing a bearish signal; however, MACD is a lagged indicator, it is still in the downward wave of the triangle. Bullish power is low actually, but it is rising; no lower than zero showed up after June 4th.
Parabolic SAR is making a new upward trend, steady and mild; the trend could last longer. Ichimoku cloud is thin, which means it can break out at any time, but we can still observe that it is going down.
Up until now, the bullish signals have dominated. The triangle here is small, and it will finish soon, so we should be prepared for the breakout after the triangle.
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