The Pound Facing Strong Resistance

The pound sterling provided positive trades against the US dollar, recording its highest level at 1.3915. The intraday moves returned stability below the psychological barrier level of 1.3900.

Technically, we are biased towards negativity relying on the clear negative crossover signals on Stochastic, in addition to losing the bullish momentum RSI on the 60-minute chart.

Therefore, the bearish bias is likely during the coming hours, targeting a re-test of 1.3830 a first target, and then 1.3770 a next stop.

From the top, crossing to the upside and rising above 1.3935 is able to completely cancel the bearish scenario and lead the pair to an upside path, its initial target is 1.3975 and may extend to 1.4000.

S1: 1.3830	R1: 1.3935
S2: 1.3770	R2: 1.3975
S3: 1.3730	R3: 1.4035