Huitong Financial App News-- Friday (April 19) European trading sessionSuperwildmegawaysThe pound / dollar rebounded to near the opening price after two fluctuating lows throughout the day. Intraday report 1Superwildmegaways.2434, down 0.01 per cent. Technical analysis of sterling / dollar
The pound fell slightly against the dollar on Thursday, but remained above support of 1.2430. Bulls must vigorously defend this support to prevent a further correction; failure to do so could lead to a correction of the exchange rate to 1.2325. A subsequent decline beyond this point could lead to a retest near the low of 1.2040 in October 2023.
On the other hand, if market sentiment shifts back to support bulls and prices shift upwards from current levels, then resistance could be at 1.2525. Above this key obstacle, the focus will shift to the 200-day simple moving average 1.2570, followed by 1.2640, 50-day simple moving average consistent with two important short-term trend lines.
Technical Analysis of Euro / Sterling
The euro / sterling rebounded earlier this week, but reversed its trend after failing to clear the trend line resistance level 0.8570 on Thursday, with prices falling to 0.8550, the 50-day simple moving average. The pair is likely to stabilize near current levels before rebounding, but if it breaks through, it could fall to 0.8520, or even 0.8500.
On the other hand, if the bulls try to regain dominance and push the exchange rate higher, the resistance level will appear at the previously mentioned 0.8570. Breaking through this technical resistance level could lay the foundation for the currency pair's 200-day simple moving average surge towards 0.8600.
Technical Analysis of pound / JPY
The pound / yen was basically flat on Thursday, trading just below trend line resistance of 192.70. Bears need to try their best to hold this resistance level; if lost, it could trigger a rise in the exchange rate towards a 2024 high of 193.55. If prices strengthen further, the possibility of jumping to the 195.00 psychological barrier cannot be ruled out.
On the other hand, if the pair turns downwards from its current position, support will extend from 190.60 to 190.15, where an upward trend line meets the 50-day simple moving average and April lows. Further declines below the bottom may strengthen bearish momentum, opening the door to a decline towards 187.90.
At 15:20 Beijing time, the pound / dollar was down 0.01 per cent at 1.2434RMB 35. EUR / GBP rose 0.02% to 0.8559 Compact 61. Sterling / Japanese yen fell 0.13% to 192.0220 / 550.