Sterling Continues to Reach Bearish Targets

The British pound incurred heavy losses against the US dollar within the expected bearish path during the previous report, touching the first target of 1.3775, heading towards the second target of 1.3740, recording the lowest price at 1.3751.

On the technical side, today, with the price remaining below the resistance level 1.3780, and most importantly, 1.3820, the negative pressure comes from the simple moving averages.

Therefore, the way is paved for achieving more losses 1.3735/1.3700, initial targets that extend later towards 1.3650. However, activating the bearish scenario requires trading to remain below 1.3820, and surpassing it upwards will postpone the chances of a decline, and we may witness a bullish slope targeting 1.3870.

Note: NFP is due today and we may witness high volatility.

S1: 1.3735	R1: 1.3820
S2: 1.3700	R2: 1.3870
S3: 1.3650	R3: 1.3910