We're flat | 28 April 2020

Technical observation

GBP is trading with an increasing bearish momentum above a supportive zone 1.2209-1.2173. My expectation is, either a decline to the above-mentioned zone followed by a clear breakout below it or, a rise to the resistance zone 1.2770-1.2746 followed by a penetration above it. In case of a break below the zone 1.2209-1.2173, I expect possible bearish price movements towards 1.1468 after a correction to the zone. However, in case of a breach above 1.2770-1.2746, we anticipate further bullish movements of GBP. Right now remaining flat with this pair is ideal than picking any position

Trade recommendation

Remain neutral.