We're flat | 03 July 2020

Technical observation

This week GBP has been trading with an increasing bullish momentum and I expect it to close bullish. Next week, I expect further upwards movement of this pair towards the resistance line 1.2690-1.2594 followed by bounce within it for bearish price rally. If you are currently flat with this pair, remain so and await for a correction to the zone 1.2690-1.2594 and a bounce within it to sell GBP with your take profit at 1.1647 and stop loss at 1.3091. In case there is no rejection within 1.2690-1.2594 but a clear breach above it, I expect upwards movements of GBP after a correction to the just broken zone.

Trade recommendation

Remain flat.