Wait | 02 June 2021

Technical observation

On the weekly chart above, price is trading with an increasing bullish bias at the resistance level 1.2248; I expect either a clear breakout above the line with a big green candle, or a bounce at it followed by another pullback to the supportive zone 1.1605-1.1571. In case of a clear breakout above the line 1.2248 wait for a correction to it and a bounce confirming further bullish movements of price before you continue long with this pair. However, if there is a bounce at the level and a correction to the supportive zone I have mentioned above, wait for a rejection within it before you buy EUR within it with your take profit at 1.2248 and stop loss at 1.1411.

Trade recommendation

Remain neutral.