A clear break above 143.38 will be the final nail in the coffin and confirm that a premature low was seen at 140.80 in wave iv and wave v towards 149.11 is developing. Short-term support is seen at 142.98 with strong support seen at 142.75. We expect the former resistance now acting as support will be able to protect the downside for a clear break above 143.38 confirming the expected rally towards 149.11 in wave v.
R3: 144.61
R2: 144.35
R1: 144.12
Pivot: 143.38
S1: 143.09
S2: 142.87
S3: 142.75.
Trading recommendation:
We are long GBP from 142.76 and we have our stop at 141.20 but expects to be able to move it higher soon.
