Wait for retracement o the key zone (1.3506-1.3493) | 08 January 2018

Technical observation

On the 4 hours chart above GBPUSD has been trading on an uptrend but on this day 29.12,17 price broke above this key zone(1.3506-1.3493) before retracing back to the same zone twice on 02.01.18 and 03.01.18.I expect GBP to continue long towards the Keyline 1.3606 or even break it to continue further up, if you had not traded GBP, wait for a pullback to the zone (1.3506-1.3493) to enter into long position.Incase price breaks below the zone, wait for a retracement to confirm that the price is in a bearish trend to short GBP towards the zone (1.3301-1.3283)

Technical levels

Resistance levels

R1.1.3592

R2.1.3617

R3.1.3677

Pivot

1.3557

Support levels

S1.1.3532

S2.1.3497

S3.1.3438

Trade signal

Wait for retracement o the key zone (1.3506-1.3493) to long GBP towards 1.3606