Looking to buy within 1.3599-1.3661 | 04 June 2021

Technical observation

On the weekly chart above, GBP is trading with an increasing bearish bias between a supportive zone 1.3599-1.3661 and a resistance level 1.4615. In case this downwards movement continues to the zone I have mentioned above, pick long positions within it after a bounce with your take profit at 1.4615 and stop loss at 1.3283. However, should there be a clear penetration below it with a big red candle, wait for a correction to the just broken zone and a rejection within it before you pick short positions towards the supportive level 1.2565. As long as GBP is sustained above the zone 1.3599-1.3661, I can only recommend bullish positions for this pair.

Trade recommendation

Wait for a correction to 1.3599-1.3661 to buy GBP.