Trading recommendations for the GBPUSD currency pair – placing trading orders May 8, 2019

Over the past trading day, the currency pair pound / dollar showed volatility, very close to the average daily 91 (93) points, as a result of reaching the predicted value. From the point of view of technical analysis, we see that after a small pullback from the level of 1.3080, the sellers returned to the market again, pushing the foothold and going down to the level 1.3039, wherein another pullback followed. On the other hand, based from the information background, there came the news that the British still have to participate in the elections of the deputies of the European Parliament, where Theresa May regrets that her country will inevitably hold elections, and it is not possible to complete the process of leaving the European Union before the specified date by the law. Returning to the information background, we have published data on the number of open vacancies in the US labor market, where, as predicted, there was growth, but more significant: Previous. 7.142M —> Prog. 7.350M —> Fct. 7,488M.

Today, in terms of the economic calendar, we do not have any significant data for both Britain and the United States. Nevertheless, the information noise has not yet been cancelled.

Further development

Analyzing the current trading chart, we see that there is a small rollback, where the point of the current support can be designated to the coordinates 1.3050, which are the earlier clusters. In the case of fixation lower than 1.3040, you can consider the movement to the psychological level of 1.3000.

Indicator Analysis

Analyzing the different timeframe (TF) sector, we see that there is a downward interest in the short and intraday perspective against the background of a two-day decline. Meanwhile, the medium-term perspective maintains the upward interest against the background of the earlier jump.

Weekly volatility / Measurement of volatility: Month; Quarter; Year

Measurement of volatility reflects the average daily fluctuation, based on monthly / quarterly / year.

(May 8 was based on the time of publication of the article)

The current time volatility is 16 points. Volatility will grow in the direction of the daily average. However, if a support is found in the face of the level of 1.3000, then we will see a slowdown and a breakdown of the value 1.3130. Otherwise, there will be stagnation in the framework.

Key levels

Zones of resistance: 1.3180 *; 1,3300 **; 1.3440; 1.3580 *; 1.3700.

Support areas: 1.3000 **; 1.2920 * 1.2770 (1.2720 / 1.2770) **; 1.2620; 1,2500 *; 1.2350 **.

* Periodic level

** Range Level

The material has been provided by InstaForex Company – www.instaforex.com

Source:: Trading recommendations for the GBPUSD currency pair – placing trading orders (May 8)