200 hour MA slowed the fall too.
The GBPUSD has been moving lower in trading today. Brexit concerns/Brexit debate has helped to weaken the pound in trading today. It is the weakest of the major currencies today.
Technically, the selling got going yesterday when the pair stalled ahead of the 100 day MA. The price of the GBPUSD has not traded above the 100 day MA since the Brexit vote day. Yesterday, the price got close but fell short. The stronger dollar in the NY session also was a help yesterday.
Today, the bearishness continued after the pair fell below the 100 hour MA (blue line) in the Asia-Pacific session. The selling intensified as London traders arrived and Brexit comments started up.
The pair did find support near the 50% of the move up from the most recent low. That comes in at 1.25794. The 200 hour MA comes in at 1.25684 currently (green line in the chart below). The low for the day reached 1.2577. The current price trades above and below the 1.2600 level.
Looking at the 5 minute chart, the pattern since the break lower yesterday has been to stay below the 100 bar MA (on the 5-minute chart below). The most recent corrective move found the sellers against the level at the 1..2620 level. The 38.2% of the trading range today also contributed to the ceiling.
So the pair has reached a battle area where the resistance on the shorter term chart (below the 100 bar MA on the 5- minute) is battling support from the hourly chart against the 50% and the 200 hour MA. The market is taking a breather, but the battle lines have been drawn.
