Wait | 05 October 2023

Technical observation

GBP is trading with an increasing bearish bias between the supportive level 1.1797 and a resistance zone it established at 1.2282-1.2269; however, I expect a loss of this bearish movement followed by a retracement to the zone I have mentioned above and a bounce within it. As it is on the chart above, I recommend that you remain flat and wait for a correction to the zone indicated above then sell a bounce within it with your take profit at 1.1797 and stop-loss at 1.2366. If there is a decline below the level 1.1797, I expect the value of GBP to plunge further to the lower side after a pullback to the broken line.

Trade recommendation

Remain neutral.