British Pound Needs Careful Consideration

The pound tilted negatively against the US dollar, to record its lowest level near the psychological barrier of 1.3000.

From a technical point of view, looking at the 4-hour chart, we find the stochastic began to provide signs of a positive crossover with the stability trading above 1.3000 support.

On the other hand, stability of trading below 1.3050 supports the return of the bearish trend, and therefore we prefer to stand aside for the moment until the daily trend becomes more accurate in order to obtain profitable deals waiting for the one of following scenarios.

To get a bullish trend, the price must remain above 1.3000, and we need a clear breach of 1.3050 resistance, which confirms and accelerates the strength of the daily bullish trend, with targets starting at 1.3080, then 1.3120, and gains may extend later towards 1.3165.

Activation of long positions depends on a clear break of 1.3000 support, which will negate any attempts to rise and put the price under strong negative pressure with an initial target of 1.2950 then 1.2910.

S1: 1.3000	R1: 1.3080
S2: 1.2950	R2: 1.3120
S3: 1.2910	R3: 1.3165