After hitting the weekly PP at 1.3915 on Wednesday morning, the Pound began edging lower and eventually breached the support of the 55– and 100-hour SMAs.
Similarly to other major currencies against the Greenback, the Sterling initially fell in the wake of solid US CPI data, but was subsequently driven by strong upside momentum within the following hours. As a result, the pair managed to advance up to the psychological 1.40 mark.
Technical indicators support a possible fall in this session which is likely to be limited by the support of the 200-, 55– and 100-hour SMAs and the weekly PP circa 1.39.
Meanwhile, in case no fundamentals affect the rate in this session, the daily high is expected to be the weekly R1 at 1.4065.
