British Pound Re-Test Resistance

The sterling reversed the expected bullish path in the previous analysis, in which we relied on the pair’s attempts to consolidate above 1.3000, we made it clear that trading below the psychological barrier of 1.3000 will stop any attempts to rise and put the price under new negative pressure, its targets start at 1.2965 and extend to 1.2920, recording the lowest price at 1.2916.

Technically, there are signs of a bearish technical pattern that increases the possibility of continuing the decline, the stochastic is still moving negatively and losing the bullish momentum. We will maintain negative expectations when trading below 1.3060, the most important of which is 1.3080, knowing that the price has stabilized for an intraday below 1.2965, a sign to continue declining targeting 1.2920, breaking the latter accelerate and confirms the strength of the daily bearish trend, to open the doors directly towards 1.2850 then 1.2785.

On the upside, a rally above 1.3080 is able to negate the expected bearish wave and lead the price to retest 1.3145, and may extend later towards 1.3180.

Warning: the level of risk may be higher today

Warning: the RSI indicator has started to provide bullish signals on short time frames.

S1: 1.2930	R1: 1.3080
S2: 1.2850	R2: 1.3145
S3: 1.2785	R3: 1.3230