GBP starts positive 22/8/2023

Positive trades witnessed the movements of the pound sterling against the US dollar after it established a good support ground near 1.2720 to start attacking the strong resistance level at 1.2770.

On the technical side today, and with a closer look at the 4-hour chart, the 50-day simple moving average is starting to provide a positive impulse, accompanied by positive signals from the RSI.

From here, with trading steadily above 1.2720, the support of 50.0% Fibonacci correction, there may be a possibility of visiting 1.2810 as the first target, noting that breaching it increases and accelerates the strength of the bullish bias, with a next target of 1.2855.

The infiltration below 1.2720 can thwart the current upward attempts and leads the pair to the official bearish path, with an initial target of 1.2665, and later extends towards 1.2630, an official station.

Note: Today, we are waiting for the summit of the “BRICS” group throughout the day, and we may witness high price fluctuations.

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: 1.2730	R1: 1.2810
S2: 1.2665	R2: 1.2860
S3: 1.2630	R3: 1.2905