Forex Technical Analysis: Trend potential – Short GBPUSD around 1.3508-1.3753

GBPUSD – Flat

Technical observation

Recently, GBPUSD broke below a support zone 1.3805-1.3753, price then rallied towards a support line 1.3508 but could not penetrate below it sand was rejected. Currently it is correcting to the zone and I expect a rejection of it from the zone for possible bearish momentum towards 1.3508 and breakout below it for a further decline in price. I waiting for the retracement to the zone to short GBPUSD within it with my take profit at 1.3508 and stop loss around1.3915.In case of a clear breakout below 1.3508, Remain short with GBP after a correction to it.Only buy if there’s a clear breach above 1.3508-1.3753.

Technical levels

Resistance levels

R1.1.3623

R2.1.3673

R3.1.3765

Pivot

1.3581

Support levels

S1.1.3531

S2.1.3488

S3.1.3396

Trade signal

Wait for a correction to 1.3508-1.3753 to sell GBPUSD.

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