Current trend
The dollar strengthened yesterday against the pound, despite the excess of the forecast for the number of Jobless Claims in the United States. In July, the indicator amounted to 217K, which is 2K higher than the forecast and 9K higher than the previous indicator, which shows the weakness of the labor market and is an unfavorable factor for USD.
Today, the market is waiting for the publication of annual data on US GDP for Q2 (14:30 GMT+2): according to preliminary forecasts, the index will grow and amount to 4.1%, high volatility is expected on the market.
Support and resistance
On H4 chart, there is a return of the downward dynamics after correction, and the instrument is traded between the lower and middle lines of Bollinger Bands. MACD histogram is near the zero level, and its volume is minimal, the signal line is reversing down.
Support levels: 1.3100, 1.3080, 1.3050, 1.3025, 1.3000.
Resistance levels: 1.3130, 1.3160, 1.3200, 1.3210.
Trading tips
Short positions may be opened from the current level with the target at 1.3050 and stop loss at 1.3140.
Long positions may be opened from the level of 1.3150 with the target at 1.3100 and stop loss at 1.3120.
Implementation time: 1-3 days.
Trade
Scenario
Timeframe Intraday
Recommendation SELL
Entry Point 1.3115
Take Profit 1.3050
Stop Loss 1.3140
Key Levels 1.3000, 1.3025, 1.3050, 1.3080, 1.3100, 1.3130, 1.3160, 1.3200, 1.3210
Alternative scenario
Recommendation BUY STOP
Entry Point 1.3150
Take Profit 1.3100
Stop Loss 1.3120
Key Levels 1.3000, 1.3025, 1.3050, 1.3080, 1.3100, 1.3130, 1.3160, 1.3200, 1.3210
The dollar strengthened yesterday against the pound, despite the excess of the forecast for the number of Jobless Claims in the United States. In July, the indicator amounted to 217K, which is 2K higher than the forecast and 9K higher than the previous indicator, which shows the weakness of the labor market and is an unfavorable factor for USD.
Today, the market is waiting for the publication of annual data on US GDP for Q2 (14:30 GMT+2): according to preliminary forecasts, the index will grow and amount to 4.1%, high volatility is expected on the market.
Support and resistance
On H4 chart, there is a return of the downward dynamics after correction, and the instrument is traded between the lower and middle lines of Bollinger Bands. MACD histogram is near the zero level, and its volume is minimal, the signal line is reversing down.
Support levels: 1.3100, 1.3080, 1.3050, 1.3025, 1.3000.
Resistance levels: 1.3130, 1.3160, 1.3200, 1.3210.
Trading tips
Short positions may be opened from the current level with the target at 1.3050 and stop loss at 1.3140.
Long positions may be opened from the level of 1.3150 with the target at 1.3100 and stop loss at 1.3120.
Implementation time: 1-3 days.
Trade
Scenario
Timeframe Intraday
Recommendation SELL
Entry Point 1.3115
Take Profit 1.3050
Stop Loss 1.3140
Key Levels 1.3000, 1.3025, 1.3050, 1.3080, 1.3100, 1.3130, 1.3160, 1.3200, 1.3210
Alternative scenario
Recommendation BUY STOP
Entry Point 1.3150
Take Profit 1.3100
Stop Loss 1.3120
Key Levels 1.3000, 1.3025, 1.3050, 1.3080, 1.3100, 1.3130, 1.3160, 1.3200, 1.3210