Remain short | 02 October 2020

Technical observation

Yesterday GBP bounce within the resistance zone 1.3006-1.2970 then rallied downwards. I expect this bearish movement to continue to the supportive line 1.2626 followed by a clear breakout below it with a big red candle. My advice, if you sold GBP within the zone mentioned above after a bounce, remain short with your take profit at 1.2626 and stop loss at 1.3170. In case of a clear break below the line 1.2626 with a big red candle, wait for a correction to it and a bounce before you continue short with this pair towards the supportive 1.2226-1.2194 or even lower to the supportive level marked at 1.1768.

Trade recommendation

Remain short with your take profit at 1.2626.