Technical Analysis Based on Breakout – Wait for a retracement at 1.3760

GBPUSD – Flat

Technical observation

After hours of rising steadily, GBP is currently rallying above a support line 1.3760 and is now approaching 1.3941.I expect a rejection from the line followed by a retracement to 1.3760 to rebuy GBP towards 1.3941, I also expect price to continue further up and even break out above the upper resistance line 1.3760 to continue with the upward momentum. If price goes below the line 1.3760 then I’ll wait for a retracement to it before I short GBP towards 1.3506 or even lower to 1.3308 if the line is broken. The key lines to look for on this chart include, 1.3941, 1.3760,1.3506 and 1.3308.

Technical levels

Resistance levels

R1.1.3848

R2.1.3833

R3.1.3826

Pivot

1.3821

Support levels

S1.1.3811

S2.1.3804

S3.1.379

Trade signal

Wait for a retracement to 1.3760 to rebuy GBP with your take profit at 1.3941,and stop loss slightly below 1.3760

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