Today we do not expect the release of macroeconomic news from the UK. With regards to the United States, a weekly report on crude oil reserves and a number of other less significant indices will be published.
In connection with the Christmas holidays, many traders prefer not to enter the market before the New Year and therefore go on vacation. The markets before the holidays became less volatile and the trading volumes declined. Among the significant events for this pair, we can say that at the moment the drop in the yield of US Treasuries is putting pressure on the US dollar. The dollar index continues to decline, and the consumer confidence index released yesterday declined to 122.1 points in December.
We should take into account the weakening of the reserve currency and technical indicators.
Considering our chart and technical indicators, we can be sure that now is a good time to enter long positions, as the Stochastic and the RSI rushed up, and the MACD rose above zero.
Our trading advice will be to enter long positions from the levels 1.3420 and 1.3450 with a medium-term target of 1.3530.
