British Pound Rallies Strongly 23/3/2022

Remarkable positive trades dominated the pound’s movements against the US dollar to reverse the bearish trend, as we expected, touching the stop-loss order at 1.3200, recording its highest level during the early trading of the current session at 1.3300.

Technically, we find the 50-day simple moving average that returned to hold the price from below in support of the bullish daily trend, in addition to the stability of trading above the breached resistance 1.3240, and in general, stability above 1.3200 with the beginning of forming a bullish technical formation as shown on the chart with a 4-hour interval.

Confirmation of the breach of 1.3310 50.0% correction may extend the pair’s gains to visit 1.3350 and 1.3380 respectively, as long as the price is stable above 1.3200, knowing that the return of stability is below 1.3200 renews the chances of a decline towards 1.3170 and 1.3130.

Note: The risk level is high.

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: 1.3170	R1: 1.3350
S2: 1.3060	R2: 1.3415
S3: 1.3000	R3: 1.3525