Noor Trends News, Technical Analysis, Educational Tools and Recommendations
The pound failed to achieve the bearish target published during the previous analysis, touching the stop-loss order at 1.2730. As a reminder, we mentioned yesterday that the price consolidated above 1.2730, delaying the chances of a decline. We may witness a limited bullish tendency that aims to retest 1.2770, recording its highest level at 1.2780, replacing the selling position.
On the technical side today, by looking at the 240-minute chart, we find that the stability of trading above the previously breached resistance 1.2720 supports the possibility of an ascent, which supports the return of stability of the pair above the 50-day simple moving average. On the other hand, we notice the continuation of the negative impact of the bearish pattern shown on the chart.
We prefer to monitor the price behavior of the pair until we get a clearer signal to determine the daily trend, to be in front of one of the following scenarios:
To get a bearish trend, we need to witness a break of 1.2720, to target 1.2675 and 1.2620, respectively, while breaching the resistance level of 1.2780 will lead the pair to restore the bullish path, with targets starting at 1.2835 and 1.2860.
Note: Today we are awaiting high-impact economic data issued by the US economy, “non-agricultural jobs data.”
“Average wages,” “Unemployment rates,” and from the Canadian economy, we await “Change in Canadian jobs,” and “Unemployment rate,” and prices may witness high fluctuations at the time of news release.
Note: The risk level is high and all scenarios are likely to occur.
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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