Sell GBP within 1.2104-1.2113 | 09 February 2023

Technical observation

GBP is trading with an increasing bullish bias below the resistance zone 1.2104-1.2113, this upwards movement is a correction to zone indicated above and I expect a bounce within the same zone followed by a rally to the lower side. My advice, remain neutral and wait for a pullback to the zone I have mentioned above then sell a bounce within it with your take profit at 1.1935 and stop-loss at 1.2169. In case of a penetration below the level 1.1935, wait for a pullback to it before you continue short with this pair, on the other hand, if there is a clear break above the zone 1.2104-1.2113, I expect the price to ascend towards 1.2300.

Trade recommendation

Sell GBP within 1.2104-1.2113 with your take profit at 1.1935.