The US dollar’s rally across the board puts the sterling on the defense.
The pair has been climbing along a rising trendline. Then it met stiff selling pressure in the daily supply zone near 1.3900. An initial fall below 1.3800 indicated a lack of conviction in the rebound after a repeatedly overbought RSI.
The invalidation of the trendline would turn sentiment upside down with buyers cashing in.
1.3730 is the next support as the firesale gains traction. On the upside, the bulls will need to lift 1.3840 before they could hope for a bounce
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