We are seeing a correction in the pair.

At the moment our pair continues to decline amid bad news from Brexit and the British pound is weakening relative to the reserve currency.

Despite recent statements by Donald Trump, who weakened the US dollar on Monday, the dollar index is now recovering the previously lost positions and has returned above the 97.00 mark.

Considering our chart, we observe that the pair has approached the middle line of the Bollinger bands and has now found a resistance level there. Given that the pair updated the annual minimums, we believe that the bears will try their hand again and the pair will go to test the level of 1.2680 and may go lower.

Therefore, we advise you to look for points to enter short positions and consider the middle of the channel as a support level. Set your take profits near the levels of 1.27, 1.2680, and 1.2650.