The Pound is Hovering Around Support

We adhered to intraday neutrality during the previous report due to the conflicting technical signals, explaining that activating the short positions requires breaking the 1.3800 psychological support level to touch our first waited target of 1.3765, touching a low at 1.3765.

On the technical side, the current moves are witnessing stability below 1.3820, and most importantly, the price stability below 1.3850, as we find the simple moving averages forming a negative obstacle.

Therefore, we tend to the negativity, targeting 1.3765, the first target, knowing that breaking the mentioned level can increase the negative pressure, paving the way towards 1.3720 next stop.

Rising above 1.3850 will invalidate the bearish scenario, and we will witness a bullish intraday path, with its initial target at around 1.3880/1.3890.

Note: Stochastic is trying to provide positive signals.

S1: 1.3765	R1: 1.3850
S2: 1.3720	R2: 1.3890
S3: 1.3675	R3: 1.3940