Market is still consolidating as the Brexit saga continues
Well we may have a general election. We may not. Then if we do, does that give the PM a mandate for his agenda or does it simply muddy the waters even more?
The uncertainty keeps the market for the GBPUSD contained in an down and up market today. The current price is a few pips lower on the day.
Any clues from the technicals?
Well.... looking at the hourly chart, the price has been able to keep the bars below the 200 hour MA (green line) currently at 1.28813 going back to Friday (no closes above the 200 hour MA). If the price is to go higher, getting and staying above that MA line seems to be the barometer for the upside.
Should the sellers continue to lean (and so far they are), on the downside, the trend line - that failed on a break lower today - comes in at the low today at 1.2833. That is the next close target.
Below that trend line, the recent swing lows reached 1.28055 today (bid side low). The low from Monday was at 1.2810. The low on Friday was 1.2803. The low from last week reached 1.27878.
Taking out the lows from this week (it may be as easy as get below 1.2800) and then the low from last week, opens the downside to the sellers with the 1.2746-55 area (swing levels) the next target. Below that the 200 day MA at 1.27102 will be eyed.
