Wait | 17 October 2023

Technical observation

GBP is trading with an increasing bullish bias below a resistance zone 1.2635-1.2589, this upwards movement is a correction to the zone I have mentioned above and I expect a possible rejection within it followed by bearish movements of price. My advice, remain flat and wait for a correction to the zone indicated above then pick short positions within it after a bounce with your take profit at 1.1688 and stop-loss at 1.2875. Should there be a clear breach below the level 1.1688 with a big red candle, wait for a pullback and a bounce at this line before you continue short towards the key level 1.0363.

Trade recommendation

Remain neutral.