Pound Loses Ground Against the Dollar 31/10/2025

The pair logged heavy losses in the prior session, printing a 1.3117 low.

Technical outlook

• RSI: Remains negative in the short term despite oversold readings—consistent with downside risk.
• SMAs: Price holds below the simple moving averages, which continue to act as dynamic resistance.
• Structure: Stability below 1.3210 keeps the bearish bias intact.

Base case (bearish while below 1.3210)

• A drift toward 1.3105 (first support) is favored.
• A decisive 4H close below 1.3105 would open 1.3060 next.

Invalidation / upside toggle

• A confirmed 4H close above 1.3210 would neutralize immediate downside pressure and allow a corrective rise toward 1.3265.

Risk note
Volatility is elevated amid trade and geopolitical tensions. Manage position size and use hard stops; reassess quickly if the key levels break.

Trading CFDs involves risks, and therefore all scenarios may be plausible. The information provided above is not a recommendation to sell or buy but rather an explanatory reading of price movement on the chart.

S1: 1.3105	R1: 1.3210
S2: 1.3060	R2: 1.3265
S3: 1.3000	R3: 1.3310