How to trade GBP/USD on August 19? Simple tips for beginners.

The GBP/USD pair generally maintained a downward trend on Thursday. We have slightly rebuilt the downward channel, now it has become wider and more stable. Thus, the downward trend continues, and the pound has the opportunity to continue falling within its framework. What was it actually doing today? Of course, there was a correction, but in general, the pound fell again at the end of the day. No important reports in the UK on Thursday, but this week there were a lot of them, and traders, in fact, worked out only the inflation report. Everything is very boring in America this week. After the euro and pound corrected up by 400-500 points, they have the opportunity to resume their global downward trends. And we believe that it is precisely in this scenario that the situation will develop in the coming weeks. For the market, from our point of view, the most important factors remain geopolitics and fundamentals, and they continue to fully support the US dollar.

The pound/dollar pair moved "so-so" again on the 5-minute timeframe on Thursday. It managed to change the direction of movement twice, and these reversals were impossible to predict, since they did not occur amid macroeconomic reports and not near important levels. Moreover, most of the levels have been ignored. Nevertheless, let's figure out what could be done. The first sell signal was a failure. The price settled below the level of 1.2008, but immediately turned up and overcame it in the opposite direction. Therefore, novice traders could take a loss of 20 points on a short position. However, the long positions was already much better - the price reached the target level of 1.2062 and even overcame it. Therefore, the long position should have been closed on the next sell signal, which was formed when the price fell below the level of 1.2062. Profit was about 35 points. The sell signal also had to be worked out and the pair made it possible to earn another 55-60 points, as it overcame the level of 1.2008 and continued to fall after that. The deal had to be closed manually in the late afternoon. Thus, in general, traders were able to earn about 70 points today.

The pound/dollar pair has formed a clear downward trend on the 30-minute TF, and continues to adhere to it. Therefore, in general, there are no questions about the pair's movement. It will be possible to count on the growth of the British currency not earlier than consolidating the price above the descending channel. Macroeconomic statistics this week were plentiful, but had a restrained effect on the pair's movement. On the 5-minute TF on Friday, it is recommended to trade at the levels of 1.1898, 1.1967, 1.1994, 1.2079, 1.2141. When the price passes after opening a deal in the right direction for 20 points, Stop Loss should be set to breakeven. The retail sales report is scheduled for Friday in the UK, which again may provoke a market reaction by 20-30 points. As you can see, the British currency, often correcting, continues to move down.

1) The signal strength is calculated by the time it took to form the signal (bounce or overcome the level). The less time it took, the stronger the signal.

2) If two or more deals were opened near a certain level based on false signals (which did not trigger Take Profit or the nearest target level), then all subsequent signals from this level should be ignored.

3) In a flat, any pair can form a lot of false signals or not form them at all. But in any case, at the first signs of a flat, it is better to stop trading.

4) Trade deals are opened in the time period between the beginning of the European session and until the middle of the US one, when all deals must be closed manually.

5) On the 30-minute TF, using signals from the MACD indicator, you can trade only if there is good volatility and a trend, which is confirmed by a trend line or a trend channel.

6) If two levels are located too close to each other (from 5 to 15 points), then they should be considered as an area of support or resistance.

Support and Resistance Levels are the Levels that serve as targets when buying or selling the pair. You can place Take Profit near these levels.

Red lines are the channels or trend lines that display the current trend and show in which direction it is better to trade now.

The MACD indicator (14,22,3) consists of a histogram and a signal line. When they cross, this is a signal to enter the market. It is recommended to use this indicator in combination with trend lines (channels and trend lines).

Important speeches and reports (always contained in the news calendar) can greatly influence the movement of a currency pair. Therefore, during their exit, it is recommended to trade as carefully as possible or exit the market in order to avoid a sharp price reversal against the previous movement.

Beginners on Forex should remember that not every single trade has to be profitable. The development of a clear strategy and money management are the key to success in trading over a long period of time.