GBP/USD moves towards a test of the 200-hour moving average
The pound is continuing to give up on its late December gains and is not helped against the risk aversion in markets today as losses against the dollar and yen are accelerated.
Cable is down to session lows for the day and is looking towards a test of the 200-hour MA (blue line) @ 1.3066. Break below that and sellers will regain near-term control of the pair.
It's been a choppy week for pound trading as I would argue that traders are still sorting out positioning adjustments before trying to regain focus on Brexit matters as well as keeping one eye on economic developments and how that may affect the BOE.
For now though, it's all about the risk mood and with markets still chasing haven assets, the dollar stands to benefit ahead of the weekend.
Further support for cable is seen closer towards 1.3050 before the 1.3000 handle steps in.
