GBP experiencing huge losses 25/4/2022

The British pound incurred heavy losses against the US dollar at the end of last week’s trading, within the expected bearish path, surpassing the required official station at 1.2930, recording its lowest level at 1.2823.

Technically, the daily trend is still bearish, but we find stochastic trading around overbought areas, which might lead the pair to a slight bullish slope that might target a retest of 1.2890 initially.

Note: the limited bullish bias does not contradict the daily bearish trend, knowing that breaking 1.2820 will force the pair to visit 1.2765 initially.

Note: Trading on CFDs involves risks. Therefore, all scenarios may be possible. This article is not a recommendation to buy or sell but rather an explanatory reading of the price movement on the chart.

S1: 1.2765	R1: 1.2975
S2: 1.2685	R2: 1.3110
S3: 1.2555	R3: 1.3180