The GBP/USD pair continued to trade in the same mode on Friday as it has been all week. These movements are perfectly visible in the chart above, and their nature is also perfectly clear. By and large, such a movement can be called a "semi-flat" and it is very dangerous for traders, especially beginners. The reason is this. When a flat is formed in the market, it is clear and clear. When there is a trend in the market, everything is also clear and clear. When the movement is neither the first nor the second, most trading systems fail and we have a huge number of false signals at the exit. This week, there seemed to be an upward slope of movement, but at the same time, the pair constantly rolled back, adjusted and spent most of the week in the range between the levels of 1.3500 and 1.3600. There is no trend line or channel at this time. Macroeconomic statistics on Friday were published only in the UK and the reports were quite important, but contradictory. In particular, the GDP figures for different periods showed different dynamics and, therefore, traders could not interpret them unambiguously. After their publication, the pound sterling rose, but at the same time, no GDP report can be called "unequivocally positive". Thus, this growth could not be related to "macroeconomics" at all.
The technical picture looks even more confusing on the 5-minute timeframe. Not only has the pair spent the whole week in the semi-flat, but there are a lot of levels now, so the price regularly crosses them and forms not always strong and accurate signals. On Friday, the movement began with a buy signal near the 1.3523 level. After that, the price went up about 30 points, and then got into an absolute "meat grinder" of various levels. From above, four levels were waiting for her at once, which were located at a distance of 10-20 points from each other. Naturally, after overcoming one level, the price immediately rested on the next and it was impossible to open positions. As a result, the upward movement ended near the area of 1.3598-1.3603, from which a rebound followed. But by the time the pair got back to the lower level of this "grid", the day was already over and it was clearly not necessary to open new positions. Thus, by and large, novice traders had to work out only the first buy signal. It was possible to earn 20-30 points of profit on it.
How to trade on Monday:
On the 30-minute TF, the upward trend was canceled, but a downward trend was not formed instead. The pair has been between the levels of 1.3488 and 1.3643 for five days. It is impossible to state a flat, but there is no trend now. Therefore, the situation for the pound sterling is now as confusing and ambiguous as possible. On the 5-minute TF tomorrow, it is recommended to trade by levels 1,3431-1,3440, 1,3488, 1,3513, 1,3563-1,3580, 1,3598-1,3603, 1,3652-1,3660. When the price passes after the opening of the transaction in the right direction, 20 points should be set to Stop Loss at breakeven. Not a single important publication, not a single important event is scheduled for tomorrow in the UK and America. Thus, novice traders will have nothing to react to during the day, as well as the entire market. Volatility may decrease, and the movement may remain as sideways and chaotic as possible.
