Recovery attempts from new two-week low at 1.3937, posted after strong fall in past two days, stays so far under broken 1.40 support which reverted to solid resistance (psychological barrier/broken Fibo 38.2% of 1.3457/1.4344 rally).
Pound is expected to remain under pressure on risk-off mode which emerged after strong fall in global stocks.
Close below 1.40 support on Monday was negative signal, with near-term techs now in bearish mode and supportive for further easing.
Completion of failure swing pattern on daily chart adds of growing bearish pressure.
Fresh bears would look for next target at 1.3900 (rising daily Kijun-sen/50% retracement of 1.3457/1.4344) and could extend towards 1.3800 support (rising 30 SMA/near Fibo 61.8%). Corrective actions should ideally stay capped under 1.40 handle, with extended upticks not ruled out and expected to stall under pivotal barrier at 1.4124 (broken 10SMA).
Res: 1.4000, 1.4025, 1.4043, 1.4091
Sup: 1.3937, 1.3900, 1.3850, 1.3800
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