GBP is trying to hold on, with eyes on BoE 22/6/2023

The pound was able to close above the support level published during the previous analysis, located at 1.2740, explaining that the level above is one of the most important keys to the trend, approaching a few pips away from the desired target at 1.2810, recording its highest level at 1.2801.

On the technical side, today the current movements are witnessing stability above 1.2740, and we find the simple moving average forming a good support level around the psychological barrier of 1.2700, in addition to Stochastic’s attempts to get rid of the current negativity and gather bullish momentum.

We tend to be positive, but with caution, with trading steadily above 1.2740, targeting a retest of 1.2810 as a first target, and breaching it enhances the chances of touching 1.2860 initially.

Closing at least an hour candle below 1.2740 will immediately stop attempts to rise and initially lead the pair to enter a bearish wave, with targets around 1.2640.

Note: The level of risk may be high.

Note: Today we are awaiting high-impact economic data issued by the British economy, “the interest rate decision and monetary policy summary,” and from the United States, we await the testimony of the Federal Reserve Chairman “about the semi-annual monetary policy report before the House Financial Services Committee. We may witness a high price fluctuation during the news release.

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: 1.2710	R1: 1.2820
S2: 1.2645	R2: 1.2865
S3: 1.2595	R3: 1.2925