We're flat | 12 February 2020

Technical observation

GBP continues to rally between a resistance zone 1.3341-1.3381 and a supportive level 1.2553. I still expect either a rise to the above-mentioned zone or a decline to the support followed by a breakout below it. In case of a rise to the zone 1.3341-1.3381, wait for a bounce within it to confirm bearish price rally before you sell GBP with your take profit at 1.2553 and in case there’s no rejection within the zone but a break above it, bullish movements can be anticipated after a correction to it. However, should there be a breach below the supportive level 1.2553 wait for a retracement and a rejection at it to sell GBP.

Trade recommendation

Remain neutral.