Expecting a momentum towards 1.0931 | 09 November 2022

Technical observation

GBP retraced to the resistance zone it established at 1.1629-1.1590 but it did not break above it, instead it bounced below this zone and it is currently trading with an increasing bearish bias; as long as price remains below this zone I expect it to rally further to the lower side. If you are currently holding short positions with the pair above, I recommend that you remain in the trade with your take profit at 1.0931 and stop-loss at 1.1856, a further surge towards the level 1.0400 is expected in case of a clear break below the line 1.0931. On the chart above, I can only recommend bullish positions in case of a clear break above the zone 1.1629-1.1590.

Trade recommendation

Remain short with your take profit at 1.0931.