15 Maret 2022, GBP/USD
Technical observation
Last week GBP declined with a big red candle and this week it is showing signs of rallying further downwards. However, despite this anticipated bearish movement, I expect a correction to the resistance zone 1.3349-1.3298 followed by a rejection within it to pick short positions with my take profit at 1.2028 and stop loss at 1.3634. On the weekly chart above as long as price is sustained below the zone I have mentioned above I can only recommend short positions for this pair. Should there be a clear breakout below the level 1.2028 with a big red candle, I expect price to surge further towards 1.1310.
Trade recommendation
Remain neutral.