To open long positions on GBP/USD, you need:
Trading remains above the support of 1.2145, where a false breakout was formed, which was a signal to open long positions in the expectation of continued growth of the pound in the area of larger resistance levels of 1.2210 and 1.2264, where I recommend taking the profit. If the area of 1.2145 is broken in the second half of the day, it is best to expect new long positions only after the update of the support of 1.2093 or a rebound from a larger minimum of 1.2040. The only thing that keeps sellers from new active actions is today's meeting of the Federal Reserve System, which is likely to lower interest rates, which will put temporary pressure on the US dollar.
To open short positions on GBP/USD, you need:
The triangle to which I paid attention in the morning review did not work. Also, the bears failed to gain a foothold below the support of 1.2145. Only a real breakout of this level can return the pressure on the pound, which will lead to a further decline in GBP/USD to the area of the lows of 1.2093 and 1.2040, where I recommend taking the profits. However, as noted above, today's decision of the Fed is holding back from more active sales of bears, so it is best to count on short positions after a small upward correction to the maximum area of 1.2210, provided that there is a false breakdown, or a rebound from the resistance of 1.2264.
Indicator signals:
Moving averages
Trading is conducted in the area of 30 and 50 moving averages, which indicates a possible upward correction in the short term.
Bollinger Bands
Volatility is 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
