GBP waiting to break through the resistance 23/10/2023

The British pound achieved the retest idea published in the previous technical report at the price of 1.2090, which forced the pair to attack again, recording its highest level at 1.2170.

On the technical side today, we find that the Relative Strength Index is trying to obtain positive signals that support the possibility of a rise, accompanied by the Stochastic indicator’s attempts to eliminate negativity. On the other hand, the simple moving average is still an obstacle to the pair and meets around the 1.2200 resistance level, adding more strength.

We tend to be positive in our trading, but with conflicting technical signals, we prefer to witness a clear breach of the 1.2190 resistance level. This motivating factor increases the possibility of touching 1.2220, a first target. We must pay close attention to the fact that breaching the level above allows the pair to achieve gains starting at 1.2270/1.2260.

Trading stability returns below 1.2110. Here, the pair may begin a bearish correction, with targets starting at 1.2065 and 1.2030.

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: 1.2110	R1: 1.2190
S2: 1.2065	R2: 1.2220
S3: 1.2030	R3: 1.2265