Remain neutral. | 25 November 2022

Technical observation

Just like EUR, GBP broke above a resistance zone it established at 1.1826-1.1756 then pulled back to it once and it was sustained above the zone. Currently price is trading with an increasing bullish bias and as long as it is sustained above the zone I mentioned earlier, I expect a continuation of this upwards movement, however, I recommend that you remain neutral and wait for a second retracement to the zone 1.1826-1.1756 to pick bullish positions with your take profit at 1.2650 and stop-loss at 1.1348. In case of a clear break above the level 1.2650, I expect the value of GBP to ascend further towards the resistance level 1.3610.

Trade recommendation

Wait for a second retracement to the zone 1.1826-1.1756 to buy GBP.