4-hour timeframe
Technical details:
The upper linear regression channel: direction - up.
The lower linear regression channel: direction - sideways.
Moving average (20; smoothed) - sideways.
CCI: 3.6560
The GBP/USD currency pair continues to trade along the moving average line and between Murray levels of 4/8 and 5/8. Today will be the next X day for the UK. All previous X days have been linked or initiated by Theresa May. Today, the scheduled voting on all sorts of options for Brexit were initiated directly by Parliament. Thus, we need to take our seats and watch what is happening. If earlier there were two main options for Brexit: the "hard" scenario and a deal with the EU. Now, the options "refusal from Brexit", "second referendum", "soft" Brexit have also been added. Yesterday, Theresa May's government has already blocked the demand of 5.5 million citizens who have signed the petition on the government's website, demanding the abolition of Brexit. What will happen tonight remains a guess? But we do not recommend doing this either. The chaos that now prevails in the UK can end in any way: even though Theresa May's resignation, even the formation of a new government, at least Brexit's rejection. Accordingly, in each of the available options, the market reaction will be different. Therefore, it is best to wait now for the results of voting in parliament. But! Even if parliament supports one or more options (this can also be, as the lack of support for all options), this will not mean that London will follow this path. These ballots are designed to show which option the majority of parliamentarians favor.
Nearest support levels:
S1 - 1.3184
S2 - 1.3123
S3 - 1.3062
Nearest resistance levels:
R1 - 1.3245
R2 - 1.3306
R3 - 1.3367
Trading recommendations:
The pair GBP/USD continues to trade near the MA. Today or tomorrow, a pair can again be thrown from side to side, since today there will be a cycle of important votes in Parliament, the results of which cannot be predicted, of course. Therefore, with the opening of any position, increased caution is recommended.
In addition to the technical picture should also take into account the fundamental data and the time of their release.
Explanations for illustrations:
The upper linear regression channel is the blue lines of the unidirectional movement.
The lower linear channel is the purple lines of the unidirectional movement.
CCI is 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.
Heikin Ashi is an indicator that colors bars in blue or purple.
The material has been provided by InstaForex Company - www.instaforex.com