The Sterling has remained stable against the US Dollar for the second consecutive session. During this time, the pair was trading in a narrow range between the 1.28 mark and the monthly S2 at 1.2745.
Even though technical indicators are already recovering, the Sterling has failed to follow this trend, mainly due to the 55-hour SMA blocking any gains. However, it seems that the rate should be ready to surpass this resistance, breach the junior channel and target the breached senior pattern and the weekly PP at 1.2850 today.
Given that bears were unable to push the Sterling lower since mid-Friday, it is unlikely that a fall occurs. In case the bearish scenario does prevail, this decline should not be greater than the weekly S1 near 1.2650.
