Remain long | 23 July 2020

Technical observation

On the 4-hour chart above, GBP pulled back to a supportive level it established around 1.2651 and it could not break below it. Price bounced at the supportive level then went up with a big green candle and is still trading with an increasing bullish momentum. I expect this upwards movements to continue to the resistance line 1.2813 followed by either a clear breakout above it with a big green candle, or, a bounce at the line followed by a retracement to the supportive level 1.2651. My advice, if you are currently long with this pair, remain in the trade with your take profit at 1.2651 and stop loss at 1.2624.

Trade recommendation

Remain long with your take profit at 1.2651.