GBP testing support 27/3/2023

The pound sterling provided positive trades against the US dollar within the bullish context, as we expected, approaching by a few pips from the first target that needs to be touched at 1.2300, recording the highest 1.2293.

Technically, the pair found a strong resistance level around the psychological barrier of 1.2300, which forced it to decline again to retest the 1.2120 level, and the current movements are still stable above the mentioned level.

We may witness a bullish correctional wave during the current session’s trading, targeting 1.2300, and its breach is a catalyst that enhances the chances of the price heading towards 1.2390 initially.

As a reminder, breaking 1.2210 is a confirmation sign of a decline, so we will be waiting for the first bearish target 1.2140, and 1.2060 as a next official station.

Caution: The risk level is high.

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: 1.2140	R1: 1.2310
S2: 1.2040	R2: 1.2390
S3: 1.1965	R3: 1.2480