Pick short positions within the zone 1.3203-1.3183 | 18 March 2022

Technical observation

Just like EUR, GBP pulled back to a resistance zone 1.3203-1.3183 but could not break above it, instead it bounced below the zone and today I expect price to plummet towards the supportive level 1.2688. My advice, pick short positions now within the zone I have mentioned above with your take profit at 1.2688 and stop loss at 1.3358. As long as the value of GBP is sustained below the zone 1.3203-1.3183 I expect it to trade with an increasing bearish bias. The key levels to look for on your way downwards include 1.2688, 1.2099 and the lower supportive level 1.1436. I can only recommend bullish positions above the zone 1.3203-1.3183.

Trade recommendation

Pick short positions within the zone 1.3203-1.3183 with your take profit at 1.2688.