GBPUSD trades to new session lows on no-confidence vote rumblings.

The 1.2500 level is tested and is leading to a bounce.

The GBPUSD fell just below the 1.2500 level on rumblings on no-confidence vote rumblings (see post here).

Earlier the price on the pair fell back below a broken trend line which turned the bias back to the downside (see post here). The continuation of the fall on the latest news has traders wondering what is the next target below 1.2500?

Looking at the hourly chart, the 1.2468 is a lower trend line with a number of tests including the low from yesterday. Keep that level in mind on more weakness.

We are getting a bounce-back rally off the 1.2500 level as I type. I would expect the 1.2550-58 to be an area of resistance that should slow the rally if the sellers are to remain in full control. The 1.2552 is the 38.2% of the day's range. The pair closes at 1.2558. The 1.2550 was the earlier day low (yellow area on the chart below).