We're short within 1.2690-1.2594 | 13 July 2020

Technical observation

GBP pulled back to a resistance zone it established around 1.2690-1.2594 and could not penetrate above it. Price was contained below the zone and this week I expect possible bearish momentum of this pair towards the supportive level 1.1647. My advice, sell GBP within the zone 1.2690-1.2594 with your take profit at 1.1647 and stop loss at 1.3046. In case there is a clear breach below the line 1.1647 with a big red candle, wait for a correction to the just broken line and a rejection to confirm further bearish movements of price before you continue short. We can only anticipate bullish movements above 1.2690-1.2594.

Trade recommendation

Sell GBP within 1.2690-1.2594 with your take profit at1.1647.