GBPUSD back testing the 200 hour MA. Buyers have another shot.

Technical Analysis

Author: Greg Michalowski | gbpusd

The 50% midpoint of the months trading range stalled the fall.

Bullish news. Bearish news for the GBPUSD from the hourly chart.
The 50% midpoint of the months trading range stalled the fall.

The bullish news is the price decline from the high stalled at the 50% midpoint of the July trading range at 1.3740.  

The bearish news is the price earlier failed on the break of the 200 hour MA. 

What now ?

I would still lean more in favor of the buyers (back above the 100 hour MA (blue line at 1.36903), the 200 day MA at 1.37003, and holding the 50% midpoint at 1.37403. 

However, the final piece of the puzzle is still required. That is. getting and staying above the 200 hour MA. The first try at that final piece failed.  

In my earlier post, after the price broke above the 200 hour MA, I warned traders of a failure by saying (or typing):

Close risk now for buyers is the 200 hour moving average.  Move back below that level after the break, could/should lead to some liquidation/corrective action on the failure.  The 1.3752 area and the 50% midpoint of the month's trading range at 1.37403 would be targeted on a failure.. 
The first break failed.  However, the 50% target was reached - on the correction lower - and it held.  That's good for the buyers. 

So, buyers have another shot. Can they keep the move going on the 2nd try?  Get above and stay above. 
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