Remain neutral temporarily. | 07 April 2023

Technical observation

GBP is pulling back to the resistance zone it established at 1.2630-1.2528 and I expect either a rejection within this zone or a clear break above with a big green candle. My advice, if there is a bounce within the zone 1.2630-1.2528; sell this pair within the same zone with your take profit at 1.0368 and stop-loss at 1.3101. On the other hand, in case of a break above the zone 1.2630-1.2528, i recommend that you wait for a pullback to the broken zone and a bounce within it before you pick bullish positions towards the key level 1.4236 or even higher to the level 1.6725. A further surge can be expected in case of a break below the level 1.0368.

Trade recommendation

Remain neutral temporarily.