EUR/USD and GBP/USD: Trading plan for beginner traders on October 19, 2023
October 19, 2023 11:24 am
Details of the Economic Calendar on October 18
The inflation data in the United Kingdom has disappointed investors. The Consumer Price Index remained at 6.7%, while a decrease to 6.6% was expected. This figure significantly exceeds the established target level and is more than three times higher.
Additionally, on Wednesday, inflation data for the European Union was published. It slowed down from 5.2% to 4.3%. However, it’s worth noting that these were final figures that coincided with the preliminary estimate.
Analysis of Trading Charts from October 18
The EUR/USD currency pair reduced the volume of long positions around the 1.0600 level. This move led to a slowdown in the upward cycle and, as a result, a reversal in price.
The GBP/USD currency pair not only remained below the 1.2150 level but also continued the previously established downward cycle. This process was accompanied by a consistent increase in short positions, indicating a possible subsequent price decline in an inertia stage.
Economic Calendar for October 19
Today, data on jobless claims in the United States is expected, with an overall increase forecast. Statistical details indicate that the volume of initial jobless claims may rise from 209,000 to 212,000, and the volume of continuing jobless claims may increase from 1.702 million to 1.710 million.
Time Targeting:
U.S. Jobless Claims – 12:30 UTC
EUR/USD Trading Plan for October 19
In case the downward movement in the market continues, there is a possibility that the price may return to the support level of 1.0500 and potentially break below it.
Regarding the upward scenario, for its activation, the quote needs to first return above the 1.0550 level. In this case, movement towards the level of 1.0600 is possible.
GBP/USD Trading Plan for October 19
In the case of inertia, a decrease in the quote towards the upper range of the psychological level of 1.2000/1.2050 is expected. This scenario may indicate the continuation of the medium-term trend. However, the situation may change if the quote rises again above the 1.2150 level. In that case, a range of 1.2150/1.2230 may resume.
What’s on the charts
The candlestick chart type is white and black graphic rectangles with lines above and below. With a detailed analysis of each individual candle, you can see its characteristics relative to a particular time frame: opening price, closing price, intraday high and low.
Horizontal levels are price coordinates, relative to which a price may stop or reverse its trajectory. In the market, these levels are called support and resistance.
Circles and rectangles are highlighted examples where the price reversed in history. This color highlighting indicates horizontal lines that may put pressure on the asset’s price in the future.
The up/down arrows are landmarks of the possible price direction in the future.
The material has been provided by InstaForex Company – www.instaforex.com
Details of the Economic Calendar on October 18
The inflation data in the United Kingdom has disappointed investors. The Consumer Price Index remained at 6.7%, while a decrease to 6.6% was expected. This figure significantly exceeds the established target level and is more than three times higher.
Additionally, on Wednesday, inflation data for the European Union was published. It slowed down from 5.2% to 4.3%. However, it’s worth noting that these were final figures that coincided with the preliminary estimate.
Analysis of Trading Charts from October 18
The EUR/USD currency pair reduced the volume of long positions around the 1.0600 level. This move led to a slowdown in the upward cycle and, as a result, a reversal in price.
The GBP/USD currency pair not only remained below the 1.2150 level but also continued the previously established downward cycle. This process was accompanied by a consistent increase in short positions, indicating a possible subsequent price decline in an inertia stage.
Economic Calendar for October 19
Today, data on jobless claims in the United States is expected, with an overall increase forecast. Statistical details indicate that the volume of initial jobless claims may rise from 209,000 to 212,000, and the volume of continuing jobless claims may increase from 1.702 million to 1.710 million.
Time Targeting:
U.S. Jobless Claims – 12:30 UTC
EUR/USD Trading Plan for October 19
In case the downward movement in the market continues, there is a possibility that the price may return to the support level of 1.0500 and potentially break below it.
Regarding the upward scenario, for its activation, the quote needs to first return above the 1.0550 level. In this case, movement towards the level of 1.0600 is possible.
GBP/USD Trading Plan for October 19
In the case of inertia, a decrease in the quote towards the upper range of the psychological level of 1.2000/1.2050 is expected. This scenario may indicate the continuation of the medium-term trend. However, the situation may change if the quote rises again above the 1.2150 level. In that case, a range of 1.2150/1.2230 may resume.
What’s on the charts
The candlestick chart type is white and black graphic rectangles with lines above and below. With a detailed analysis of each individual candle, you can see its characteristics relative to a particular time frame: opening price, closing price, intraday high and low.
Horizontal levels are price coordinates, relative to which a price may stop or reverse its trajectory. In the market, these levels are called support and resistance.
Circles and rectangles are highlighted examples where the price reversed in history. This color highlighting indicates horizontal lines that may put pressure on the asset’s price in the future.
The up/down arrows are landmarks of the possible price direction in the future.
The material has been provided by InstaForex Company – www.instaforex.com
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