FX.co ★ Trading plan for the European session on August 7 EUR / USD and GBP / USD

EUR / USD

To open long positions for EUR/USD, it is required:

The upward correction in the euro may continue after the buyers return to the level of 1.1796, the consolidation of which could lead to the renewal of 1.1837 with the test level of 1.1879, which will indicate the return to the market of the major players putting on the further growth of the euro. In the event of an unsuccessful consolidation above 1.1796, I advise you to go back to buying the euro today only after updating the low of Friday last week with fixing at 1.1741.

To open short positions for EUR/USD, it is required:

Sellers will expect today to form a false breakout in the area of 1.1796, which could lead to a larger downward correction in the support area of 1.1741, as well as to the renewal of lows last week. Only the formation of a divergence on the MACD indicator can create certain problems for sellers, whose main goal will be a new minimum of 1.1671.

GBP / USD

To open long positions for GBPUSD, it is required:

While the pound is above 1.3044, one can expect a further upward correction to the resistance area of 1.3086, where I recommend fixing the profit. Repeated generation of false breakdown at 1.3044 will also be an additional signal to the opening of long positions in the pound. In the event of a further GBP / USD decline, you can go back to buying for a rebound from a larger support of 1.3003, or if there is no volume there, wait for the test 1.2963 and open long positions there.

To open short positions for GBPUSD, you need:

Sellers can claim themselves after consolidation below 1.3044, and their main goal will be to reduce and update 1.3003, where today I recommend fixing profit, because at this level, a divergence can be formed on the MACD indicator. If the pound is rising in the morning, it's best to go back to sales after forming a false breakout in the resistance area of 1.3086 or to rebound from 1.3140.

Indicators

MA (medium sliding) 50 days - yellow

MA (medium sliding) 30 days - green

MACD: fast EMA 12, slow EMA 26, SMA 9

Bollinger Bands 20