Ceiling ahead though
Two days ago the GBPUSD tested topside trend line and ceiling area at the 1.4984-1.5000 area and that was enough to force the price back down.
Today, the pair started to recover at a random low area, it moved above the 200 hour MA, then 100 hour MA, and before you know it, the pair was trending higher in a step-by-step process.
The pairs is back approaching the high ceiling area at the 1.4984-1.5000 level. It is not quite there but the buyers continue to hold the cards. I know this by looking at the 5 minute chart. The pair tried to correct lower as No American traders entered, but the high from yesterday, stalled the fall, and the shorts were forced to cover (you can see it in the bars after the blue circle 3). Shorts are not getting any satisfaction yet.
If the price can start to make inroads into the 38.2%-50% of the last leg higher, the trend may slow. If the price tests the ceiling again and stalls. Those will be clues that the buyers and sellers are more balanced. Until then, I give the nod to the longs.
