The GBPUSD has falled below hte 50% retracement of the weeks trading range at the 1.58955 level and the 200 hour MA at the 1.5894 level as the dollar buying continues. The next target is the 61.8% of the same weeks range at the 1.58747 level (see chart above). A move below this level opens up the door for an extension to the low on Tuesday at 1.5850. The 200 day MA is still holding steady at the 1.5840 level. This area should find profit taking interest.
Should the market correct off the retracement level, the sellers today will like to keep corrections below 1.5894-1.5902 area . This is where the 200 hour MA and the 38.2% of the last sharp leg lower (see 5 minute chart below).
