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

Buyers of the pound tried to stay above the support of 1.2085, which I paid attention to in my morning review, but it was broken after a repeated test. At the moment, the situation remains on the side of the sellers. Bulls need a breakthrough and consolidation above the resistance of 1.2116, which coincides with the moving averages. Only after this can we expect a second wave of growth to the maximum of 1.2153 and update the resistance of 1.2187, where I recommend taking the profit. If the GBP/USD pair continues to decline, it is best to look at the long positions on the rebound from the large support level of 1.2045.

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

The situation with Brexit continues to put pressure on the British pound, and the planned meetings of the British Prime Minister with EU representatives this week are unlikely to be held in a "friendly" atmosphere. Sellers need to form a false breakdown in the resistance area of 1.2116, which was formed today in the first half of the day, and their main goal will be to update the large support level of 1.2044, above which the pair held out for the entire second half of last week. If the resistance of 1.2116 is broken, it is best to count on short positions on a rebound from a maximum of 1.2153.

Indicator signals:

Moving Averages

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

Bollinger Bands

Short positions can be returned after updating the average border of the indicator in the area of 1.2125.

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