Pound Retest Resistance

Negative trading dominated the British pound against the US dollar by the end of last week’s trading, approaching a few points difference from the published target of 1.3875, recording its lowest level at 1.3888.

On the technical side today, there are some positive signs appearing on the RSI, which increases the possibility that we will witness a bullish bias in the coming hours, aiming to re-test 1.4040 before resuming the decline again.

Note: the slight bullish trend does not contradict the bearish trend, in which its initial targets lie around 1.3820, as long as it confirms the breach of 1.3900.

S1: 1.3900	R1: 1.4040
S2: 1.3825	R2: 1.4105
S3: 1.3760	R3: 1.4175