To open long positions on GBPUSD, you need:
From a technical point of view, the situation has not changed. Buyers performed well at the level of 1.3108, which I paid attention to in my morning forecast, which led to a small upward correction and a return of GBP/USD to the resistance of 1.3161. Let me remind you that the British pound fell in Asian trading after the next polls, which indicated that the leadership of the Conservative Party of Great Britain significantly decreased the day before the general election, which makes the result even more unpredictable. The main task of the bulls for the second half of the day will be to return and consolidate above the level of 1.3161, which may lead to a re-update of this month's maximum of 1.3209, where I recommend taking the profits. If the pair declines after the US inflation data, more acceptable levels for opening long positions are seen in the area of 1.3049 and 1.2988, from where you can buy immediately on the rebound.
To open short positions on GBPUSD, you need:
The bears did not cope with the morning task, as they failed to break below the support of 1.3108. In general, this outcome was quite expected, so the focus in the afternoon should be on important data on inflation in the United States and the decision of the Federal Reserve on interest rates. A repeated return to support of 1.3108 may lead to a larger sell-off of GBP/USD to the low of 1.3049 and 1.2988, where I recommend taking the profits. The formation of a false breakout in the resistance area of 1.3161 will also be a signal to open short positions in the pair. Otherwise, the pound can be sold from the maximum of this month in the area of 1.3209 or immediately on the rebound from the resistance of 1.3265. Likely, the Fed's decision will not greatly affect the British pound, which is preparing tomorrow for the general election in the UK.
Indicator signals:
Moving Averages
Trading is conducted around 30 and 50 daily averages, which indicates the lateral nature of the market.
Bollinger Bands
The lower border of the indicator around 1.3100 has already supported the pound. The upward trend may be limited by the upper level of the indicator around 1.3200.
Description of indicators
Moving average (moving average determines the current trend by smoothing out volatility and noise). Period 50. The graph is marked in yellow.Moving average (moving average determines the current trend by smoothing out volatility and noise). Period 30. The graph is marked in green.MACD indicator (Moving Average Convergence / Divergence - moving average Convergence / Divergence) Fast EMA period 12. Slow EMA period 26. SMA period 9Bollinger Bands (Bollinger Bands). Period 20