The GBPUSD is testing the converged 100/200 hour MA at 1.3448 after the tumble lower today failed to keep the selling going.
Recall, that yesterday’s rally took the price above the 100 day moving average, but ran out of steam right where you’d expect it to: the 50% retracement near 1.3529. The subsequent move down into the close saw the price install near the high of a swing area 1.34672.
Buyers today made another run above the 100-day MA (~1.3493) today but couldn’t stick the landing, and the failure drew sellers back in once again.
The price fell with more momentum, breaking below both the 200 and 100 hour moving averages (blue and green lines on the chart above), and also below the low of the swing area 1.3445..
On the downside momentum, bears had their chance too. We saw multiple stabs below the swing shelf near 1.3414 (see the 1–4 red circles), but the break lower stalled. That failure invited a rebound, and the pair has now rotated back to the confluence of the 100-hour and 200-hour MAs near 1.3448. That zone is the intra-day barometer — whichever side wins here tends to have the next say.
Will the sellers coming against the level in keep the Bears/sellers more in control?
Will the buyers push above the 2 moving averages and make another run up toward the 38.2% retracement 1.34769 followed by the 100 day moving average at 1.34936)?
Key area being tested for both buyers and sellers
