We're neutral | 09 September 2021

Technical observation

GBP is trading with an increasing bullish bias below a resistance zone it established at 1.3797-1.3793, my expectation is a continuation of this bullish movement to the zone I have mentioned above followed by a rejection within it for a surge to the lower side. My advice, wait for a correction to the zone 1.3797-1.3793 and a sell a bounce within it with your take profit at 1.3734 and stop loss at 1.3816. In case of a clear breakout below the supportive level 1.3734 with a big red candle, I expect price to plunge to the lower supportive level 1.3660. On the flip side, in case of a clear breakout above the zone 1.3797-1.3793, I expect a surge to the resistance level 1.3852.

Trade recommendation

Wait for a correction to the zone 1.3797-1.3793 to sell GBP.