GBP/USD: plan for the American session on July 8. Buyers of the pound are trying to form new support for the trend reversal

Trading 08 juil 2019 Donner votre avis

To open long positions on GBP/USD, you need:

Pound buyers today are trying to form a new lower boundary of the upward channel and break the downward trend. While trading above the support level of 1.2501, we can expect to maintain the momentum for correction, the target of which will be the resistance of 1.2543. The only consolidation above this range will lead to an update of the highs of 1.2585 and 1.2639, where I recommend taking the profit. If the pressure on the pound continues, the breakout of the range of 1.2501 will lead to an update of the lows of last week with the support test of 1.2471 and 1.2439, where you can open long positions immediately on the rebound.

To open short positions on GBP/USD, you need:

Bears will count on a good report on the US economy, and the breakout of the support of 1.2501 will only increase the pressure on the pound and lead to new lows in the area of 1.2471 and 1.2439, where I recommend taking the profits. In the scenario of buyers returning to the market, the formation of a false breakout in the area of 1.2543 will be a signal to open short positions. Otherwise, you can sell the pound on a rebound from the maximum of 1.2585.

Indicator signals:

Moving Averages

Trading is below 30 and 50 moving averages, indicating a further decline in the pound.

Bollinger Bands

Volatility has fallen, and the breakdown of the lower limit of the indicator in the area of 1.2501 can lead to a new wave of decline in the pound.

analytics5d233b76928c0.png

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

Fatal error: Uncaught Exception: 12: REST API is deprecated for versions v2.1 and higher (12) thrown in /var/www/forex-winner.com/htdocs/wp-content/plugins/seo-facebook-comments/facebook/base_facebook.php on line 1039