To open long positions on GBPUSD, you need:
In the first half of the day, I paid attention to the resistance of 1.2611 and recommended that it open long positions at the breakdown and consolidation. If you look at the 5-minute chart, you will see how at first the bulls broke above the resistance of 1.2611, and then after a small downward correction to this range, the buy signal was confirmed from the top down, which allowed them to get to the next resistance of 1.2686. Similarly, I recommended opening short positions from the resistance of 1.2686, which also allowed us to take a couple of dozen points from the market. At the moment, to maintain the bullish momentum, a breakout and consolidation above the resistance of 1.2686 are required, which will open a direct path for buyers of the pound to the highs of 1.2744 and 1.2798, where I recommend fixing the profits. If the pressure on the GBP/USD returns after the report on the US labor market, then you can count on support for 1.2611 only after the formation of a false breakout there. It is best to postpone long positions until the test of the lows of 1.2552 and 1.2500, counting on correction of 30-40 points within the day.
To open short positions on GBPUSD, you need:
Sellers showed themselves from the resistance of 1.2686, where I recommended opening short positions in my morning forecast, and now the pair is locked in the side channel of 1.2611-1.2686. Going beyond this channel will depend on the fundamentals of the US economy. In the case of a breakout of 1.2686, it is best to postpone short positions until the highs of 1.2744 and 1.2798 are updated, counting on correction of 30-40 points within the day. An equally important task for the bears will be to break through and consolidate below the support of 1.2611, which will increase pressure on GBP/USD and push to a minimum of 1.2552, and the longer-term goal will be the range of 1.2500, where I recommend fixing the profits.
Signals of indicators:
Trading is conducted above the 30 and 50 daily averages, which keeps the market bullish momentum.
Note: The period and prices of moving averages are considered by the author on the hourly chart H1 and differ from the general definition of the classic daily moving averages on the daily chart D1.
If the upper limit of the indicator breaks around 1.2655, the demand for the pound may increase. The pair will be supported by the lower border of the indicator in the area of 1.2555.
Description of indicators
*The market analysis posted here is meant to increase your awareness, but not to give instructions to make a trade.
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