Today the GBP/USD index from Investing was released and amounted to 46.1%. It indicates bearish expectations for the pair. Yesterday the US stock exchanges were not active due to the celebration of the President's Day holiday and our pair moved downwards.
Today we do not expect the release of significant macroeconomic data from the US.
The growth of the cryptocurrency market may indicate the restoration of stock markets and an interest in risky assets. Therefore, we can now expect the growth of stock indices and increasing interest in the dollar.
Considering our chart and technical indicators, we observe a decrease in the MACD histogram and its direction toward the zero mark. The RSI trend indicator is also directed downward, and the price is located below the moving average MA (23).
Based on this, we will play in favor of the dollar and look for points to enter short positions from the levels 1.4030 and 1.4000. Our goals are the levels of 1.3920 and 1.3850.
On Wednesday and Thursday data is expected to be released, which will either enhance the movement of the pair, or form a reversal model. Since the pound is pressured by trade agreement negotiations between the UK and the EU, which have not been fruitful so far, the market will be volatile during the release of data and public appearances. At this point, entering the market is not recommended.
