Noor Trends News, Technical Analysis, Educational Tools and Recommendations
An upward trend characterized the movements of the British pound against the US dollar yesterday, in line with our positive outlook. The pair touched the first target at the price of 1.2570, marking its highest level at 1.2570.
From a technical standpoint today, our bias leans towards positivity. We rely on the stability of trading above the robust support level of 1.2460, coupled with the sustained movement above the 50-day simple moving average. The Stochastic indicator continues to receive positive signals, adding to the optimistic outlook.
As a result, the upward momentum is most pronounced during the day, targeting the next objective from the previous report at 1.2610, followed by 1.2650. It is worth noting that the price’s consolidation above 1.2650 could extend the pair’s gains, paving the way for the third correction target at 1.2705.
Closing at least an hour candle below 1.2460 delays the chances of a rise but does not eliminate them. A retest of 1.2400 may be witnessed before subsequent attempts to rise.
Warning: Today’s market activity will be influenced by impactful economic data from the Eurozone, the press talk by the President of the European Central Bank, and updates from the American economy. The release of the “preliminary reading of the services and manufacturing purchasing managers’ index” may induce high 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.
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