Expect a rally towards the level 1.3999 | 06 April 2021

Technical observation

GBP retraced to a supportive zone 1.3806-1.3786, but could not break below it; it was contained above the zone and is currently trading with an increasing bullish bias. I expect this upwards movement to continue to the resistance line 1.3999 followed by either a clear breakout above it with a big green candle or a bounce at it. My advice, if you bought GBP within the zone 1.3806-1.3786 after a bounce, remain long with your take profit at 1.3999 and stop loss at 1.3743. Should there be a clear breakout below 1.3806-1.3786 with a big red candle, wait for a correction to it and a bounce before you pick short positions towards 1.3450.

Trade recommendation

Remain long with your take profit at 1.3999.