Noor Trends News, Technical Analysis, Educational Tools and Recommendations
Positive trading returned to dominate the pound’s movements against the US dollar, benefiting from building a base on the strong support floor located at 1.4100, which forced it to rebound to the upside again to retest the resistance of the psychological barrier 1.4200.
On the technical side today, and with a closer look at the chart, we noticed the discrepancy between the positive motive of the 50-day moving average that favors the continuation of the gains and the negative signals that started appearing on the stochastic indicator. Therefore, we will remain neutral for the moment until the direction becomes clearer more accurately, to be in front of one of the following scenarios:
Continuing the upside moves requires us to witness a clear and strong breach of the pivotal resistance 1.4215, which increases the probability of touching 1.4245, and then 1.4300 a next station.
Activation of short positions depends on breaking 1.4120, which opens the way to visit 1.4070, and then initially 1.4040.
| S1: 1.4120 | R1: 1.4245 |
| S2: 1.4040 | R2: 1.4300 |
| S3: 1.3980 | R3: 1.4375 |
