empty
 
 
23.05.2019 08:34 AM
GBP/USD: plan for the European session on May 23. The resignation of the leader of the House of Commons was a blow to the pound

To open long positions on GBP/USD you need:

Yesterday's resignation of the leader of the House of Commons hit the pound positions, but buyers have a chance for a correction. This requires a quick return to the resistance level of 1.2670, from which you can count on the demolition of a number of sellers' stop orders and a larger increase in GBP/USD in the resistance area of 1.2730 and 1.2789, where I recommend taking profits. In the event of a further decline, according to the trend, it is best to consider purchases under the condition of a false breakdown in the support area of 1.2612 or to rebound from the lows of 1.2564 and 1.2500.

To open short positions on GBP/USD you need:

Breakthrough and consolidation below the support of 1.2612 will lead to a new wave of short positions in GBP/USD with a rise to the lows of 1.2564 and 1.2500, where I recommend taking profits. Under the pound growth scenario in the first half of the day, after the release of retail sales data, selling from a resistance of 1.2670 will be a more optimal scenario, provided there is a false breakdown there, or to rebound from a high of 1.2730. Any positive news on Brexit will lead to a sharp and strong growth of the pound, so do not forget about the placement of stop orders.

Indicator signals:

Moving averages

Trading is below 30 and 50 moving averages, which indicates the bearish nature of the market.

Bollinger bands

Volatility has decreased, which does not provide signals for entering the market.

This image is no longer relevant

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
Miroslaw Bawulski,
Analytical expert of InstaForex
© 2007-2024
Earn on cryptocurrency rate changes with InstaForex
Download MetaTrader 4 and open your first trade
  • Grand Choice
    Contest by
    InstaForex
    InstaForex always strives to help you
    fulfill your biggest dreams.
    JOIN CONTEST
  • Chancy Deposit
    Deposit your account with $3,000 and get $8000 more!
    In March we raffle $8000 within the Chancy Deposit campaign!
    Get a chance to win by depositing $3,000 to a trading account. Having fulfilled this condition, you become a campaign participant.
    JOIN CONTEST
  • Trade Wise, Win Device
    Top up your account with at least $500, sign up for the contest, and get a chance to win mobile devices.
    JOIN CONTEST
  • 100% Bonus
    Your unique opportunity to get a 100% bonus on your deposit
    GET BONUS
  • 55% Bonus
    Apply for a 55% bonus on your every deposit
    GET BONUS
  • 30% Bonus
    Receive a 30% bonus every time you top up your account
    GET BONUS

Recommended Stories

Can't speak right now?
Ask your question in the chat.
Widget callback