The Sterling is Under Negative Pressure

The British pound declined against its American counterpart after finding a solid resistance level around 1.3950, which forced the pair to decline again.

On the technical side, stochastic continues to trade with negativity today, coinciding with the negative pressure of the simple moving averages.

Therefore, the bearish bias may be the most preferred today, targeting 1.3840 the first target, considering that the latter’s break extends the pair’s losses, paving the way to visit 1.3800, the next official station, whose negative targets extend later to visit 1.3750.

Stability of trading above the resistance level of 1.3930 will stop the bearish scenario completely, and we may witness a temporary bullish bias that targets a retest of 1.3980.

S1: 1.3840	R1: 1.3930
S2: 1.3800	R2: 1.3980
S3: 1.3750	R3: 1.4020