We're bullish towards 1.4236 | 14 May 2021

Technical observation

GBP pulled back to a supportive level it had established at 1.4001 but did not break below it, price bounced at the line and is currently trading with an increasing bullish bias. I expect this upwards movement to continue to the upper resistance level 1.4236 followed by either a clear breakout above it with a big green candle, or a bounce it followed by another retracement to the level 1.4001. As long as this pair is contained above the line 1.4001, you can only anticipate a momentum to the upper side; I can only recommend short positions below the same level. If you are currently long with this pair, remain so with your take profit at 1.4236 and stop loss at 1.3952.

Trade recommendation

Remain long with your take profit at 1.4236.