The pair found it difficult to surpass the previously recorded top around 1.6575, where the negative momentum has helped by dominating yesterday's trading session. SMA 50 formed good support in front of the pair, where it has the ability to push the pound towards resuming the bullish short term direction within the upside channel shown above. We expect a bullish intraday trend initially targeting the highlighted top level above, while requiring stability above 1.6070 to prevail.
The trading range for today is among the key support at 1.6070 and the key resistance at 1.6415.
The short term trend is to the upside as far as 1.5315 remains intact with targets at 1.7000.
|Recommendation||Based on the charts and explanations above our opinion is buying the pair around 1.6140 targeting 1.6275 and stop loss below 1.6070, might be appropriate.|