FX.co ★ Trading plan for GBPUSD for October 21, 2020

Technical outlook:

GBPUSD had reached 1.3070/80 levels over the past week before reversing. The Cable currency pair is seen to be trading at around 1.3050 levels at this point in writing and might test 1.3100 levels before finding resistance again. Potential remains for a push towards 1.3150/1.3200 levels as well, before reversing lower again. Immediate resistance is seen towards 1.3500, while support is around 1.2675 levels respectively. The boundary on daily chart that is being worked upon is between 1.1414 and 1.3500 respectively. Also note that fibonacci 0.618 retracement of the entire rally is seen towards 1.2200 levels, hence high probability remains for a bullish bounce if prices manage to reach there. Over the next few trading sessions, please watch out for a bearish reversal from around 1.3100/75 zone.

Trading plan:

Remain short, stop above 1.3500, target is open.

Good luck!