To open long positions on GBP/USD you need:
Pound buyers tried to return to the market, but nothing came of it. The entire focus in the morning will be shifted to UK GDP data, as a weak report will lead to a further downward trend. The bulls will try to form another false breakdown in the support area of 1.2284, which will be the first signal to open long positions in GBP/USD, however, a more important goal will be to break the resistance of 1.2323, which will lead to an upward correction to the area of a high of 1.2364, where I recommend taking profit. If fundamental statistics disappoint traders, then it is best to consider new purchases in GBP/USD after updating the lows near 1.2238 and 1.2165.
To open short positions on GBP/USD you need:
Sellers are not yet experiencing serious problems and continue to "bend" their line. A break of the low of 1.2284, which may coincide with the release of weak fundamental statistics on the growth of the UK economy, will lead to a further decrease in GBP/USD to the area of 1.2238, however, the further target of the bears in the middle of this week will be the support of 1.2165, where I recommend taking profit. If the pressure on the pair weakens in the first half of the day, it is best to count on short positions on a false breakdown from a resistance of 1.2323, but selling the pound right away on a rebound is best done from a high of 1.2364
Signals of indicators:
Moving averages
Trading below 30 and 50 moving averages, indicating a bear market in the short term.
Bollinger bands
A break of the lower boundary of the indicator in the region of 1.2270 will lead to increased pressure on the pair, while growth will be limited by the upper level in the region of 1.2323.
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
