3 plus month low and trend line cuts across at 1.3698-1.31106. Key area today/this week
The GBPUSD tumbled below the 100 day MA on Friday and closed away from that MA level. The MA comes in at 1.3869. The current price is down at 1.3770.
The price of the GBPUSD has not traded below the 100 day MA since mid November. Since March 2017, there have been less than 10 days where the price closed below that key MA level.
So, the break and run away was key on Friday. It will take a failure of that break to turn the tide back to the upside this week.
On the downside, the low on Friday reached 1.37464. That was below swing lows in February at 1.3763 and 1.3756. The price could not get below the March 1 low at 1.37106 or a lower trend line (at 1.3698).
A break below those targets will be the next step in a bearish run for the pair. Getting below will have traders targeting the September 2017 swing high at 1.36547. Below that, the 200 day MA at 1.35233 will be eyed. The price has not traded below that MA since April 2017 (over a year ago).
