Expect a rally towards 1.4615 | 17 May 2021

Technical observation

GBP pulled back to a supportive zone it established at 1.3599-1.3661 but could not break below it, it bounced within the same zone and since then it has been trading with an increasing bullish bias. As long as price is sustained above the zone I have mentioned above, I expect only a momentum to the upper side, therefore if you bought GBP within 1.3599-1.3661 after a bounce, remain long with your take profit at 1.4615 and stop loss at 1.3189. In case price breaks above the level 1.4615 with a big green candle, I expect a further momentum to the upper side towards the upper resistance level 1.5891. I can only recommend short positions below 1.3599-1.3661.

Trade recommendation

Remain long with your take profit at 1.4615.