We continue to look for a clear break above minor resistance at 134.57 to confirm the completion of the correction in wave ii/ and set the stage for a new impulsive rally in wave iii/ to above the former peak at 142.72.
In the short-term, we will see support at 133.53 which we expect to protect the downside for renewed upside pressure for a clear break above minor resistance at 134.54 and more importantly above resistance at 135.55 that confirms wave ii/ is completed and wave iii/ higher is in motion.
R3: 136.00
R2: 135.55
R1: 134.57
Pivot: 133.96
S1: 133.53
S2: 133.48
S3: 133.14
Trading recommendation:
We are long GBP from 133.51 with our stop placed at 133.00
