To open long positions on GBP / USD pair, you need:
Pound buyers are required to keep the level of 1.2664 and the formation of a false breakdown, after updating the minimum of yesterday, which will be the first signal to open long positions. The target of GBP/USD buyers is to return to the resistance level of 1.2708, which will lead to the renewal of weekly highs in the area of 1.2756 and 1.2799, where I recommend taking profits. In the case of a further decline in the pound, it is best to return to long positions to rebound from a low of 1.2623.
To open short positions on GBP / USD pair, you need:
Bears will try to break below the support at 1.2664, which will increase the pressure on the pound and lead to a renewal of the lows around 1.2623 and 1.2582, where I recommend taking profits. The bulls form an upward correction in the first half of the day. You can count on sales from the resistance of 1.2708, provided that a false breakdown is formed, or on a rebound from the maximum of 1.2756.
Trading is below 30 and 50 moving averages, which indicates a downward correction in the pair.
The upward correction will be limited to the upper boundary of the channel in the region of 1.2708, while a breakthrough of the lower boundary in the 1.2664 region will lead to a larger sale of the pound.
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
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