Trades at the lowest level since April 18th
The GBPUSD is moving below its 100 day MA at 1.26281 and in the process is trading at the lowest level since the snap election announcement by PM May on April 18th. The selling has taken the price to a low of 1.26095 so far. Trades will now want to see the 100 day MA remain broken. That would keep the sellers in firm control, and any dip buyers feeling a bit uneasy.
The next target for the pair comes in at the 50% of the move up from the March low. That comes in at 1.25779. The 100 day MA comes in at 1.25592.
Drilling to the 5-minute chart (see chart below), the correction of the "legs" lower have been limited to the 38.2% of the moves. The current leg from 1.2676 to 1.26095 has the 38.2 at 1.2635. The 50% is at 1.26429. For shorts in the trending market, staying below those levels also keeps the sellers in control. A move above, and the trend run lower today, may be running out of steam.
