Pound Collides With The Psychological Barrier

Positive trades dominated the pound sterling’s movements during the last session’s trading, touching the first official target located at the psychological barrier 1.4000.

On the technical side, today the pair found a strong resistance level around 1.4000, as the current moves witness a bearish slope accompanied by negative signs coming from the stochastic indicator.

Therefore, we may witness a decline in the coming hours with the first target of 1.3925, and then 1.3875. It should also be noted that any attempt to break the strong support level 1.3875 will lead the pair to a downside path, with targets starting around 1.3810.

From the top, to break to the upside and rise again above 1.4000, is able to invalidate the expected bearish bias during the coming hours, and the pair will recover with an initial target of 1.4055, and the gains may extend later towards 1.4100.

S1: 1.3925	R1: 1.4020
S2: 1.3875	R2: 1.4055
S3: 1.3840	R3: 1.4100