Wait for a breakout below 1.3012-1.3007 | 15 October 2020

Technical observation

On the chart above, price is trading on the supportive zone 1.3012-1.3007. I expect this bearish movement to close below the same zone followed by a pullback to it and a rejection within it for a surge to the lower side. My advice, wait for a clear break below the zone 1.3012-1.3007 and a correction to it to sell GBP with your take profit at 1.2937 and stop loss at 1.3030. On your way downwards the key levels to look for include; 1.2937, 1.2863 and the lower supportive level 1.2772. On the hourly chart above, as long as price is contained below the zone 1.3012-1.3007 only bearish rally can be expected.

Trade recommendation

Wait for a breakout below 1.3012-1.3007 to pick short positions.