For Traders

Analytical Reviews

Trading plan

26.06.201907:55 Forex Analysis & Reviews: GBP/USD: plan for the European session on June 26. Bears continue to form a downward correction on the pound in the absence of news on Brexit

This information is provided to retail and professional clients as part of marketing communication. It does not contain and should not be construed as containing investment advice or investment recommendation or an offer or solicitation to engage in any transaction or strategy in financial instruments. Past performance is not a guarantee or prediction of future performance. Instant Trading EU Ltd. makes no representation and assumes no liability as to the accuracy or completeness of the information provided, or any loss arising from any investment based on analysis, forecast or other information provided by an employee of the Company or otherwise. Full disclaimer is available here.

To open long positions on GBP/USD you need:

Pound buyers need to keep the level of 1.2674, and the formation of a false breakdown, after updating the yesterday's low, will be the first signal to open long positions in the pound. However, the main movement will depend on the speech of the Bank of England Governor Mark Carney, which is scheduled for today. Buyers of GBP/USD will be aiming for a return to a resistance of 1.2712, which will lead to the renewal of weekly highs in the 1.2756 and 1.2799 areas, where I recommend taking profits. In case the pound further declines, it is best to return to long positions to rebound from a low of 1.2633.

To open short positions on GBP/USD you need:

Bears will try to break below the support of 1.2674, which will increase the pressure on the pound and lead to a renewal of lows around 1.2633 and 1.2596, where I recommend taking profits. If Mark Carney suddenly talks about lowering the interest rate, the pressure on GBP/USD may increase much more. If in the first half of the day the bulls form an upward correction, you can count on selling from a resistance of 1.2712, provided a false breakdown is formed, or a rebound from a high of 1.2756.

Indicator signals:

Moving averages

Trading is below 30 and 50 moving averages, which indicates a downward correction in the pair.

Bollinger bands

The upward correction will be limited to the middle of the channel in the area of 1.2712 and the upper boundary of the indicator in the area of 1.2756.

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

Back to the list

Open trading account

InstaForex analytical reviews will make you fully aware of market trends! Being an InstaForex client, you are provided with a large number of free services for efficient trading.