We are neutral. | 22 September 2022

Technical observation

GBP is trading with an increasing bullish bias above a supportive level it established at 1.1218 and today I expect a further surge to the upper side. The anticipated upwards movement of price is a correction to a zone this pair established at 1.1464-1.1450 and I expect a bounce within it to re-sell GBP with my take profit at 1.1218 and stop-loss at 1.1534. As long as the value of GBP is sustained below the zone I mentioned earlier I can only recommend picking short positions, however, in case of a break above the same zone with a big green candle, I expect price to ascend towards the resistance level 1.1738 or even higher to the key levels 1.1945 and 1.2143.

Trade recommendation

Wait for a correction to the zone 1.1464-1.1450 to sell GBP.