We're neutral | 03 June 2020

Technical observation

GBP is trading with an increasing bullish momentum below a resistance zone 1.2626-1.2601. If you bought this pair within the supportive zone 1.2229-1.2210 after a bounce, you can pick your profits now at the line 1.2601. However, if you are currently neutral with this pair, I expect a possible penetration above the zone 1.2626-1.2601 with a big green candle followed by a pullback to it for a further bullish momentum. Right now remaining neutral with GBP seems more appealing than taking any position. In case GBP is contained below the zone 1.2626-1.2601, I expect another correction to the zone 1.2229-1.2210.

Trade recommendation

Remain neutral.