Wait for a pullback to buy GBP. | 19 October 2021

Technical observation

Just like EUR, GBP rose and broke above a resistance zone it established at 1.3757-1.3746 with a big green candle, price is still ascending above this zone and as long as it is sustained above it I expect a further momentum to the upper side. My advice, wait for a correction to the zone supportive 1.3757-1.3746 and a rejection within it to buy GBP with your take profit at 1.3912 and stop loss at 1.3675. In case of a clear breach above the key level 1.3912 with a big green candle, I expect a retracement to the broken level followed by further bullish movements of price. I can only recommend short positions below the zone I have mentioned above.

Trade recommendation

Wait for a pullback to the zone 1.3757-1.3746 to buy GBP.