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TECHNICAL ANALYSIS ON GBPUSD 23TH SEPTEMBER 2022

TECHNICAL ANALYSIS ON GBPUSD 23TH SEPTEMBER 2022

The asset has fallen below 1.1250 on an hourly basis and is now tumbling toward 1.1210. The horizontal resistance line drawn from the low on September 16 at 1.1351 has served as a significant roadblock for the pound. Additionally, the downward-sloping trend line drawn from the high of 1.1738 on September 13 has prevented the bulls of the pound from going up. More decline is suggested by the 55 Moving Average (MA) downwards trend at 1.1290. The momentum oscillator encountered resistance at about 60.00 and is now on the verge of moving into the negative zone of 20.00-40.00, according to the Relative Strength Index (RSI) (14). The pound will become much weaker if this continues. The cable will fall from the recent multi-decade low at 1.1210 to the peak from 4 February 1985 at 1.1160, then to the round-level support at 1.1100. If the asset succeeds in breaking over Thursday’s high at 1.1363, however, pound bulls may gather strength and push the cable towards Tuesday’s high at 1.1474 and the psychological resistance at 1.1500.