Pretty good (relative) move lower in the GBPUSD
The GBPUSD has trended lower in trading today. In the process, the pair made some bearish technical moves:
- Stayed below the 100 hour moving average at today's highs
- tumble below the 200 hour moving average at 1.28964. That moving average stalled the fall in trading yesterday
- fell below a swing level at 1.2886
- Fell below a in other swing level at 1.2866
The last hurdle was getting below the 61.8% retracement of the move up from the November 8 low at 1.28508.
We currently trade at 1.2840 just off the session low. The next target area would come in at 1.2821-24. That areas home to a number of swing highs and lows going back to November 8 (see green numbered circles).
The fundamental catalyst for the tumbled lower today was weaker than expected flash manufacturing and service PMI data. The move lower as retraced a lot of the positive from the Brexit parties election concessions to the Tories.
A more weakest look for support buyers lean against the 1.2821-24 area.
