January 14 low at 1.29537 and low from yesterday at 1.29405 eyed
The GBPUSD has moved below the old trend line at 1.2984 (was broken yesterday but break failed) and gathered more downside momentum. The price is now working on the lows from 2020. The next target would be the low January 14 at 1.29537 and the swing low from yesterday at 1.29405.
Looking at the daily chart below, the 38.2% of the move up from the September 2019 low comes in at 1.29195. That would be the next downside target on breaks to new 2020 lows. Below that and traders will be eyeing the end of December lows at 1.29039 and then the rising 100 day MA at 1.28743. The price has been above the 100 day MA since October 11, 2019.
The 2020 price action for the GBPUSD has seen a lot of ups and downs. Recent price action on the daily chart tried to break above a topside trend line (last week and on Monday too) but that failed. Now the price has moved below a lower trend line at around the 1.2999 level (call it 1.3000). Stay below that level and the bears remain in control with room to roam (and probe) on the downside.
