GBP / USD pair: plan for the American session on February 1. The pound fell on weak data on manufacturing activity

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

The UK manufacturing sector PMI was worse than economists' forecasts, which led to the return of the pair to the large support area of 1.3053, from which buyers are now trying to build a new upward trend. As long as trade is conducted above this level, the demand for the pound will remain and a weak report on the US labor market may quickly return the pair to the average border of 1.3104 and also lead to an update of the maximum of 1.3159, where I recommend taking profits. In the case of a decrease in the pound in the second half of the day, long positions can be viewed at a rebound from the support of 1.2971.

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

A repeated support test of 1.3053, together with good data on the US labor market, will lead to a continuation of the GBP/USD decline with a minimum of 1.2971, where I recommend taking profits. In the case of a pound rise in the afternoon, sales can return only on a false breakdown from the average border of the side channel 1.3104 or on the rebound from 1.3159.

More in the video forecast for February 1

Indicator signals:

Moving averages

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

Bollinger bands

Bollinger Bands indicator volatility has decreased, which does not give signals on the market entry.

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