We're flat | 19 June 2019

Technical observation

On the weekly chart above GBP is rallying above a supportive key level 1.2546 on an increasing bearish bias, my expectation is either a clear break below the line with a big red candle followed by a retracement to it, or a bounce at it followed by a correction to the resistance zone 1.3384-1.3243. In case of a penetration below 1.2546 and a correction to it, sell GBP at it with your take profit at 1.1522 and stop loss at 1.2906. Right now, I would advise you remain flat and wait for either of the circumstances mentioned above to trade GBP. Long positions may only be advisable should there be a clear break above 1.3384-1.3243.

Trade recommendation

Remain flat.