Pound below strong support 2885
Technical Overview: Pound currently trading at 1.2850 which trading below the downward channel support 1.2885, currently trading below the psychological level 1.29 and below the key resistance 1.3000. A break upside can check 1.3120 and can extend till 1.3180 further. Downside support lies at 1.2825 (Yesterday Low) and 1.2771 (Feb 14th 2019 low). One can enter sell in every rise for downside said levels which could be a good strategy for the day until it stays above 1.3120 for upside said targets.
Fundamental: GBP decreased against by 0.43 percent yesterday. In the UK, cross-party talks between the government and opposition Labour continued this Monday, although the lack of progress persists, denting further demand for Sterling. Meanwhile, wages growth eased to 3.2% from 3.5%, also missing the market’s forecast of 3.4%.
Suggestion: SELL GBPUSD TILL 1.2885 FOR 1.2820/2800 ELSE BUY ABOVE 1.2980 FOR 1.3045/3065
Important levels to watch:
S1: 1.2850 S2: 1.2820 S3: 1.2800
R1: 1.2880 R2:1.2930 R3: 1.2980