The GBPUSD bounced off the 200 hour moving average of 50% retracement at 1.29702 yesterday. The price raced up to 1.30481 (and above its 200 bar moving average on the 4 hour chart briefly) before rotating back to the downside.
Today, the pair tried to rally but found sellers near its 100 hour moving average (blue line currently at 1.30203). Buyers could not extend further to the upside and a rotation lower was started.
We currently trade near the lows for the day at 1.2973. That has taken the price below its 200 hour moving average at 1.29775, but it remains above the 50% retracement 1.29702. A move below the 50% retracement will now be eyed intraday. If the price can hold the level and get back above the 200 hour moving average, we may see some sellers give up on the .move
Right now however, the sellers remain in control and are putting pressure on the buyers against support. Key area for the market. Be aware.