Wait for a breakout below the zone 1.3729-1.3726 | 09 April 2021

Technical observation

GBP is retracing to the supportive zone it established around 1.3729-1.3726. Currently rice is trading within the zone mentioned above with an increasing bearish bias; I expect a clear breakout below the same zone and a correction to it for a momentum to the lower side a rejection of this bearish movement within the zone for a rally to the upper side. My advice, wait for a break below the zone 1.3729-2.2726 and a correction to it to sell GBP with your take profit at 1.3450. However, in case price does not break below the zone 1.3729-1.3726 and instead bounce within it, you can buy this pair within the zone but not for a long.

Trade recommendation

Wait for a breakout below the zone 1.3729-1.3726 to sell GBP.