As the market has failed to break below the 52 week low in search for a true bottom smart money should be looking for alternative opportunities to produce positive returns. As all the hoopla has simmered down, the Pound bulls has "come out of hiding" and is more or less positioning to fight for it's integrity.
Well to keep this short story short, the market seems to be mapping out a pattern. The is there courtesy of the "flash crash" back on the Seventh of October 2016, where the market gave way 700 pips only to give around 500 pips back all in 1 hour. Keeping that in mind it is also a fact that this pair never closed below 1.21000 in 2016 period. (No pun intended). The first and only time in recent history that happened was back in January due to the no FED rate hike sentiment before the February meeting. Thus the head forms and test the nearest high to form the neckline. The rejection at that point you could guarantee every trader willing to trade this pair was bull on the dollar riding this thing down looking for a break below previous lows.
As we can clearly see now that the break below did not happen, forming the right shoulder, could you answer the aforementioned questions with confidence? Surety? A break and close above the neckline should seal the deal relative to upside. Relative to the grey area? You know they claim there are 50 shades to consider.