GBP / USD pair: plan for the European session on January 11. Traders are waiting for data on GDP and Industrial production

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

There is no news on Brexit but the UK GDP data is expected today, which could push the pound lower. While trading is above the support of 1.2753, buyers of the British pound still have a chance to continue the upward trend but this requires breakdown and consolidation above the resistance of 1.2798, which will open the way to new monthly highs around 1.2868 and 1.2929, where I recommend taking profits. All of this movement will be formed only with a good report on the growth of the UK economy. In the case of a decline below the support level of 1.2753, it is best to consider long positions to rebound from the lows of 1.2708 and 1.2658.

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

Only an unsuccessful consolidation above the resistance of 1.2798 will lead to a return, which may coincide with a weak report on GDP, and a breakdown of support at 1.2753, which will collapse GBP / USD to minimums around 1.2708 and 1.2658, where I recommend taking profits. Positive news on GDP or Brexit from the UK Parliament could lead to a sharp increase in the pound. In this scenario, short positions can be opened after the highs of 1.2868 and 1.2929 are updated.

Indicator signals:

Moving averages

Trade is conducted in the area of 30-day and 50-day moving, which indicates the lateral nature of the market.

Bollinger bands

Volatility is very low, which does not give signals for entering the market.

More details about the forecast can be found in the video review.

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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

The material has been provided by InstaForex Company – www.instaforex.com