GBP: selling pressure is in place 30/8/2022

The British pound found a resistance level near 1.1740 that succeeded in stopping attempts to compensate for losses against the US dollar. As a result, the pair is witnessing stability below the mentioned level during the morning trading of the current session.

Technically, looking at the 4-hour chart, we find that the simple moving average is still an obstacle for the pair, in addition to the clear negative signs on the stochastic indicator.

From here, with the stability of daily trading below 1.1750, the bearish trend remains valid, knowing that the decline below 1.1660 facilitates the task required to visit 1.1600, and losses may extend later towards 1.1560 unless we witness any trading above 1.1750.

Note: The US “Consumer Confidence” index is scheduled to be released later in today’s session, and it has an important impact, and we may witness price fluctuations.

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: 1.1655	R1: 1.1750
S2: 1.1600	R2: 1.1800
S3: 1.1550	R3: 1.1860