Despite the yesterday’s optimism on the stock market, the pound did not manage to reach the resistance of Fibonacci extension. Today there is possibility to do it, but the break off the line is unlikely. Today data on the UK is not released. Unemployment rate in Australia in March was 5.6% against 5.4% in February; that is weak. US Initial Jobless Claims are expected to be 362K (vs. 385K in the previous week). Probably it will be worse than the forecast. Thus, the pound’s growth is a price’s wandering and we assume the short-term bearish movement will be observed.
Technically, the first bearish target is 1.5288, the level of Fibonacci 314%. When the price consolidates under the level, the downward movement may continue to the low of April 8, 1.5238 (it is the level of Fibonacci). The drop is possible to the support of trendline on the daily chart to the level of 1.5313 as well. It will be in terms of testing of the range of red bearish trendlines.
