The Pound Hovers Around The Resistance And Positivity Needs Confirmation

Positive trading dominated the movements of the Sterling Pound during yesterday’s trading session, to find the pair is now hovering around the previously broken support level, which is now turned into a resistance level around 1.3900.

On the technical side, we notice a contradiction in the technical signals between the positivity of the RSI and its stability above the mid-line 50 in support of the continuation of the rise and the negative pressure coming from the moving average.

Although we tend to be negative, but we prefer to confirm breaking 1.3870, which puts the price under negative pressure, targeting 1.3810/1.3800. It should also be noted that the latter’s break extends the pair’s losses so that we are waiting for 1.3725 next official station. A breach of 1.3925 and stability of trading above it may lead the pair to retest 1.3965.

Note: the level of risk is high.

S1: 1.3810	R1: 1.3965
S2: 1.3725	R2: 1.4025
S3: 1.3665	R3: 1.4115