Noor Trends News, Technical Analysis, Educational Tools and Recommendations
As we expected yesterday, the pound achieved the bullish technical outlook, touching the second target at 1.2230, to reach its highest level at 1.2270.
On the technical side, the pair found strong resistance around 1.2270, which forced it to retreat quickly as a result of the rise of the US dollar affected by the US inflation data; with closer consideration, the current movements witness stability below 1.2190, as we find the stochastic indicator showing signs of negativity.
We tend towards intraday negativity, but with caution, targeting a retest of 1.2150 around the 50-day simple moving average, noting that breaking it would put the pair under negative pressure once again, to visit 1.2085/1.2100, as long as trading remains stable below 1.2190.
Consolidation of the price above the resistance level of 1.2195 nullifies the activation of the suggested scenario, and the pair begins to recover from visiting 1.2230, and the gains extend later towards 1.2290.
Note: Today we are awaiting high-impact economic data issued by the US economy, “retail sales, the manufacturing index of New York State, in addition to the speech of the European Central Bank governor, in addition to the consumer price index from the United Kingdom.
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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