Looking to sell within 1.2389-1.2379 | 19 May 2022

Technical observation

GBP retraced to the zone 1.2389-1.2379 but it was not sustained above it, instead it declined below the same zone and for the past few hours price has been pulling back to the just broken zone. If this pair is contained below the zone mentioned above, I expect it to surge towards the supportive level 1.2172. My advice, pick short positions within the zone 1.2389-1.2379 with your take profit at 1.2172 and stop-loss at 1.2435. In case of a clear break below the supportive level 1.2172, I expect a further momentum in price to the lower side after a pullback to the broken line. I can only recommend bullish positions above the zone 1.2389-1.2379.

Trade recommendation

Pick short positions within the zone 1.2389-1.2379 with your take profit at 1.2172.