Expecting a momentum towards 1.1840 | 17 February 2023

Technical observation

GBP is trading with an increasing bearish bias between the supportive level 1.1840 and a resistance zone 1.2104-1.2113, I expect this downwards movement to plummet towards the supportive level 1.1840 followed by either a clear break below it with a big red candle, or a rejection of price at it. If you are currently holding short positions with the pair above, remain in the trade with your take profit at 1.1840 and stop-loss at 1.2159, in case of a break below the level 1.1840, wait for a correction to the broken line before you continue short with this pair, on the other hand in case of a break above the zone 1.2104-1.2113, you can expect price to ascend towards 1.2267.

Trade recommendation

Remain short with your take profit at 1.1840.