Wait for a breakout | 09 November 2020

Technical observation

On the weekly chart above, price is trading with an increasing bullish bias towards the resistance line 1.3305. I expect this upwards rally to continue to the line followed by a clear breakout above it with a big green candle for a further momentum to the upper side. My advice, wait for a break above the line 1.3305 and a correction to it to buy GBP with your take profit at 1.4244 and stop loss at 1.2264. In case of a break below the supportive zone 1.2634-1.2571 with a big red candle, wait for a correction to the just broken zone confirming bearish movements of price before you pick short positions towards 1.1655.

Trade recommendation

Wait for a breakout above 1.3305.