Prices moves below support @ 1.2110ish have been quickly rejected. Some analysts believe that The BOE is protecting this level. All we know for sure is that there are buyers below support. If the buyers thin out, we could have a huge move to the downside, but that trade would be hard to catch (because every move below support is quickly rejected).
I am waiting for a move above the (resistance). If it breaks above resistance, it will probably grid it's way up near 1.2700 before dropping again. I'll catch as much of that move as possible, then look for a place to short the GU longer term.
Option 1 - Buy above resistance, stop below 1.2050 and my target will be the 1.2700 area.
Option 2 - I won't sell until a break through support is confirmed. I usually wait for the pullback after the break (i.e. a retest of new resistance/former support) and enter after the bounce off of new resistance. Downward targets can be huge. If the pair goes short, I'll update when I see an entry.