To open long positions on GBP / USD, you need:
The pound buyers returned to the market and are trying to gain a foothold above the resistance level of 1.2894 after a good report on the increase in average earnings in the UK and reducing the unemployment rate to 4.0%. The main task for the second half of the day will be to keep the level of 1.2894, which will lead to new purchases by the big players, with the highs around 1.2944 and 1.3006 updated, where I recommend fixing the profits. In the case of a return below the support level of 1.2894, long positions in GBP / USD can be returned to the rebound from 1.2833.
To open short positions on GBP / USD, you need:
Returning the pair to the support level of 1.2894 may lead to the closure of a number of long positions in the pound, which will be a signal to sell to the week low of 1.2833, a breakthrough of which will lead to a new downtrend with the prospect of a decline to 1.2752 and 1.2679, where I recommend fixing the profits. In the case of an uptrend on the news in the US, it is best to consider short positions from the highs around 1.2944, subject to the formation of a false breakdown, or to rebound from 1.3006.
Indicator signals:
Moving Averages
Trade is conducted in the area of 30-day and 50-day moving, which indicates the lateral nature of the market.
Bollinger bands
Volatility remains low, which does not give signals to enter the market.
Description of indicators
- MA (moving average) 50 days - yellow
- MA (moving average) 30 days - green
- MACD: fast EMA 12, slow EMA 26, SMA 9
- Bollinger Bands 20
