GBP/USD climbs to a session high of 1.2800
The pound is finally finding some reprieve on the week as buyers now push price to a session high of 1.2800, as they continue to put up a stern defense of the key daily moving averages @ 1.2721-34 as well as the 61.8 retracement level @ 1.2722.
The inability for sellers to firmly break below 1.2700 is also seeing some exhaustion as we see buyers now wrestle back some near-term control today:
Price action is now starting to move back above the 100-hour MA (red line) and that is turning the near-term bias more neutral now from being more bearish earlier.
As such, the 200-hour MA (blue line) @ 1.2850 will be a key spot to watch in case buyers try to push for more upside momentum in the sessions ahead.
As for sellers, it is back to the drawing board as they now must try and turn the tide and push price back below the 100-hour MA @ 1.2767, with key downside support still seen on the daily chart @ 1.2721-34 and at the 1.2700 handle.
The risks for the pound this week are still ever present, but for now the dollar is also seeing a bit of a breather following gains from earlier in the week. The next shift in the dollar equation is going to be key so keep an eye out on other dollar pairs for more clues.
