Wait for a correction | 11 August 2021

Technical observation

GBP is declining steadily towards the supportive zone 1.3707-1.3682, this bearish movement is a correction to the zone I have mentioned above and I expect a loss of it within the same zone for a momentum to the upper side. My advice, remain neutral and wait for a retracement to the zone 1.3707-1.3682 and buy a bounce within it with your take profit at 1.4216 and stop loss at 1.3515. In case price is not contained above the supportive zone 1.3707-1.3682 and instead it penetrates below it with a big red candle, I expect a surge to the lower side after a retracement to the just broken zone and a rejection bounce within it.

Trade recommendation

Wait for a correction to 1.3707-1.3682 to buy GBP.