FX.co ★ GBP / USD: plan for the American session on February 8. The pound continues to be in demand for positive news about Brexit

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

Pound buyers coped well with the support level of 1.2922, which I paid attention to in my morning forecast, which is expected, led to the continuation of the formation of an upward correction. The main goal for the second half of the day will be the test of the resistance level of 1.2993, a breakthrough of which will lead to a new maximum in the area of 1.3048, where I recommend fixing the profits. In the case of a decline in GBP / USD, you can still count on purchases from support at 1.2922.

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

Only bad news on Brexit can put pressure on the pound. Sellers are required to return to the support level of 1.2922, which will lead to a larger sale of GBP / USD with a test of 1.2860, where I recommend fixing the profits. In the case of a further upward correction, you can take a closer look at short positions in the false breakdown around 1.2993 or sell a pound to rebound from a high of 1.3048.

Indicator signals:

Moving Averages

Trade is conducted in the area of 30-day and 50-day moving, indicating a continuation of the upward correction on the pound.

Bollinger bands

Bollinger Bands indicator volatility is very low. A break of the upper border around 1.2975 will lead to a larger increase in the pound.

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