GBP: Needs to Monitor Price Behavior 21/3/2022

The British pound failed to breach the strong resistance near 1.3180, which constitutes a negative pressure on the price, to witness the pair stabilizing near its lowest level during the early trading of the current session 1.3152.

On the technical side today, we notice the continuation of the clear negativity on the stochastic indicator and the negative signals coming from the 14-day momentum indicator on the short time intervals.

The bearish bias may be the most likely today to visit 1.3100/1.3110, and the price behavior of the pair should be monitored around the mentioned level, because the confirmation of a break extends the losses of the British pound to 1.3020 as the next price stop, as long as the price is stable below 1.3180 and most importantly 1.3200.

Attempts to breach the resistance mentioned above levels may be able to thwart the negative pressure attempts, and the pair will start achieving some gains, with its initial target around 1.3240.

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: 1.3110	R1: 1.3200
S2: 1.3065	R2: 1.3240
S3: 1.3025	R3: 1.3285