Pound Continues to Outperform US Dollar

The pound sterling maintains its gains against the US dollar touching the first target to be achieved mentioned in the previous analysis, located at 1.3940, to record its highest level during early trading for the current session 1.3951.

On the technical side today, with the pair succeeding in building a base above the psychological barrier of 1.3900, supported by the price getting a positive stimulus from the 50 day moving average.

Consequently, the bullish scenario will remain valid and biased towards the second target 1.3980, and the gains may extend towards 1.4015.

In general, we will continue to suggest the daily bullish trend unless we witness any trading below 1.3875.

Note: Stochastic is around overbought areas.

S1: 1.3875	R1: 1.3980
S2: 1.3810	R2: 1.4015
S3: 1.3770	R3: 1.4080