To open long positions on the GBP / USD pair, you need:
The situation has not changed compared with the morning forecast. The upside potential of the pound is still limited by the resistance of 1.2831, hence, it is best to open long positions after breaking through and fixing on this range in order to update the highs of 1.2890 and 1.2960, where I recommend taking profits. In case of a decline, support will be provided by the intermediate area of 1.2761, however, I recommend to open long positions immediately to rebound after testing the minimum of 1.2703 and 1.2663.
To open short positions on the GBP / USD pair, you need:
An unsuccessful fixation above resistance of 1.2831 signals to open short positions in order to reduce to the area of first support at 1.2761, the breakdown of which will lead to a larger sale of GBP / USD pair with a test of 1.2703 and 1.2663 minimum, where I recommend to fix profits. In the case of positive news on Brexit, a break of 1.2831 will lead to an increase in the pound. In this scenario, it is best to open short positions to rebound from a maximum of 1.2891 and 1.2962.
Indicator signals:
Moving averages
Trading takes place in the 30-day moving average, which limits the upside potential of the pound. With a 50-day average test, you can sell a pound immediately to rebound.
Bollinger bands
In case the pressure on the GBP / USD pair returns, the downward movement for today may be limited by the lower limit of the Bollinger Bands indicator around 1.2740.
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