GBPUSD remains below bearish trendline

22/03/2021

The GBPUSD pair was slightly lower on Monday and was trading near 1.3830, which are one-week lows for the Pound.

The trendline has been retested today, and bears defended it, sending sterling to new daily lows. The support now seems to be at around 1.3810, where last week's lows are seen.

Additionally, the cable is now testing the lower line of the triangle formation, and if that support (near 1.3825) is broken down, a further decline could occur. 

From the medium-term perspective, sterling could fall to March lows of 1.3780/1.38, and if bulls don't stop the decline there, we might see another leg lower toward 1.35.

Alternatively, the resistance should be again at the bearish trend line, currently near 1.3870, and if sterling jumps above that level, it might continue higher toward 1.39.

The major medium-term resistance stands at 1.40. 
Cookie Policy: The Axiory website uses cookies and by continuing using the website you consent to this. Risk Warning: Trading leveraged products such as Forex and CFDs may not be suitable for all investors as they carry a high degree of risk to your capital. Please read the full Privacy Policy.