Closed at 1.29707 yesterday
The GBPUSD rallied in the London morning session. The price moved toward the 100 hour MA in the process (currently at 1.30210). The high price stalled ahead of that MA (high reached 1.30187) and the price action has reversed back toward the close from yesterday at 1.29707.
The NY session low just reached 1.29714. A trend line cuts across near the area too. We trade at 1.2981 currently
So buyers found sellers against the 100 hour MA (PS the yellow area in the chart is also a key ceiling), and now sellers are finding buyers near the close from yesterday and an upward sloping trend line. So a battle is on.
A break below the support (the 50% is also at 1.2968) should see a rotation back toward the low from yesterday. That low stalled at the 61.8% retracement at 1.2931. That was also near lows from July 14th (see red circles in the chart above).
Overall, an up and down day for the GBPUSD, with the move above 1.3000 stalling ahead of the 100 hour MA giving the picture a little more of a bearish view (it seems like there is a ceiling developing).
However, sellers would still like to see the pair go into the red for the day and get back below the 50% retracement. That would give a little more confidence to that bearish view.
