We're neutral | 15 July 2021

Technical observation

On the 4 hour chart above price is trading with an increasing bullish bias between the supportive level 1.3754 and a resistance zone 1.4003-1.3993. I expect this upwards movement to continue to the zone I have mentioned above followed by a bounce within it for momentum to the lower side. My advice, remain flat and wait for a correction to the zone 1.4003-1.3993 and a rejection within it to sell GBP with your take profit at 1.3754 and stop loss at 1.4044. In case there is no bounce within the zone but a clear breakout above with a big green candle, I expect a rally to the upper side after a pullback to the just broken zone.

Trade recommendation

Remain neutral.