Burning forecast for GBP/USD from 07/29/2019 and a trading recommendation

Usually nothing interesting happens on Mondays and today is not an unusual day in this regard. However, it is not strange, but such a situation might allow the pound to somewhat adjust its position. Against the background of an absolutely empty macroeconomic calendar, market participants will grab any news. So, the value of data on the credit market in the UK, which is usually not very interesting for investors, will increase dramatically. It is expected that consumer lending will grow from 0.8 billion pounds to 1.0 billion pounds. Moreover, the number of approved mortgage applications should increase from 65,409 to 65,990. And just because the dollar is heavily overbought, the data on the lending market will have a beneficial effect on the pound. But only if the forecasts are confirmed. If the data turns out to be worse than forecasts, then the market will ignore them.

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The EUR/USD pair continued to delight the speculators with a downward movement, having descended more than 130 points in two trading days. Considering the trading chart in general terms, we see that the local low of 1.2381 has fallen under the pressure of short positions, leaving behind only impulse candles, I will note without any pullbacks and slowdowns.

It is likely to assume that the dollar in the current period of time, is clearly overbought, and stagnation - a pullback is seen as a fairly realistic picture. The point of the supports in this case can serve as close to having the coordinates of 1.2350, which reflects the mirror level of the 2016-2017 year. It is also worth considering the moment that if the pressure of the bears does not subside, then getting into the band with more extended boundaries of 1.2300/1.2370 will be delayed for the next day.

From the point of view of a comprehensive indicator analysis, we see that a downward interest keeps us on all the major time intervals and only in the event of stagnation the first interest shift can occur starting from the smaller time frames.

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