GBP maintains the upward path 22/11/2023

The British pound recorded significant gains against the US dollar as expected, nearing the targeted level of 1.2570 and reaching a high of 1.2560.

From a technical standpoint today, the outlook remains positive, with emphasis on the importance of intraday stability above the psychological barrier resistance of 1.2500. The overall bullish sentiment is reinforced by continued movement above the 50-day simple moving average and positive signals from the relative strength index, which remains above the 50 midline.

In light of these factors, the prevailing bias for the day is upward, with the initial target set at 1.2570, followed by 1.2605.

However, it’s essential to note that a close below 1.2465 for at least one hourly candle may delay the upward potential, though it wouldn’t entirely negate it. In such a scenario, there could be a retest of 1.2410 before renewed attempts at an upward move.

A word of caution: Today, the market is anticipating high-impact economic data from the American economy, particularly the revised reading of the Consumer Confidence Index from the University of Michigan, and a press talk by the Governor of the Bank of Canada. This could lead to increased price fluctuation.

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: 1.2500	R1: 1.2570
S2:  1.2470	R2: 1.2605
S3: 1.2410	R3: 1.2665