Pound: Positivity Needs Confirmation

The Pound movements witnessed an upward trend against the US Dollar after several sessions of trading retreated in a sideways range to reach its highest level during the previous trading session 1.3638.

On the technical side today, and carefully looking at the 240-minute chart, we notice that the 50-day moving average supports the possibility of a rise. On the other hand, we see clear negative signs on the RSI.

With the technical signals conflicting, we prefer to remain neutral until the daily trend becomes more accurate, waiting for one of the following scenarios:

To activate the buying positions, we need to witness price stability above 1.3570 and also need to witness a 4-hour candlestick closing above 1.3600, to enhance chances of a rise towards 1.3640, a first target, and gains may extend to visit 1.3700.

Activating short positions requires breaking and stabilizing the price for the 1.3570 support level, which puts the price under negative pressure, targeting a retest of 1.3500.

S1: 1.3570	R1: 1.3645
S2: 1.3530	R2: 1.3675
S3: 1.3500	R3: 1.3720