Below the 100 hour MA and 200 day MA
The GBPUSD made a new session low at 1.26372.
That low got closer to the rising 200 hour moving average at 1.26368 currently. The price has not traded below its 200 day moving average since May 27. A move below that level should solicit some selling.
On a break traders will be watching the 1.26149 level. That is the 61.8% retracement of the last move up from the June 4 low, and also is the low price from Tuesday's trade and near a swing low from last Friday trade (you can add the high from last Wednesday as well - see red numbered circles).
Should the 200 hour moving average hold support, keep an eye on what happens if the price heads back toward the 200 day moving average at 1.26751. If sellers show up there, look for a rotation to and through the 200 hour moving average to eventually occur. If the 200 day moving average is rebroken, we could see a retest of the 100 hour moving average currently at 1.27085. earlier today, the price did rebound above that level, but quickly failed.
Sellers are making a play below the 100 hour moving average, 200 hour moving average but the next steps need to be taken.
