03.06.201910:24 Forex Analysis & Reviews: GBP / USD plan for the European session on June 3. Demand for the pound will slow when approaching resistance of 1.2685

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

On Friday, pound buyers coped with the task of fixing above resistance 1.2623, to which I paid attention in my review. At the moment, while trading is conducted above this range, the demand for GBP / USD will continue, and the formation of a false breakdown there in the first half of the day will be a direct signal to open long positions based on the update of the maximum of 1.2686, where I recommend taking profits. Under the scenario of reducing the pound below the support of 1.2623, it is best to look for new purchases after returning to the area of last month's minimum at 1.2559.

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

The bears need to return and consolidate below the Friday level of 1.2623, which will gradually return to the market of sellers and will allow updating at least last month around 1.2559, where I recommend taking profits. Under the scenario of further upward correction, the demand for the pound will gradually slow down as we approach the maximum of 1.2686, from where you can open short positions immediately to rebound. Any negative news related to Brexit will scare away potential buyers and lead to the resumption of a bearish trend.

Indicator signals:

Moving averages

Trading is above 30 and 50 moving averages, which indicates an upward correction on the pound.

Bollinger bands

The average border of the indicator around 1.2623 keeps the pound from a new wave of fall. Under the GBP/USD growth scenario, short positions can be considered for a rebound from the upper border in the 1.2675 area, as well as, buying a pound while decreasing for a rebound from the lower border in the area of 1.2580.

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