Looks toward the minimum targets to get the pair out of the bearish woods
The GBPUSD has been able to push higher and in the process, has moved above the first minimum target. That is the 38.2% of the last big leg down from yesterday's high to yesterday's low. Normally that is not a big deal but when the range was 684 pips, it is a big deal.
The price has also moved above a topside trend line at 1.1724, and tested the 50% of same move lower from yesterdays high. The price did move above the 50% level for a brief moment, but has backed off.
Going forward, if the price can get and stay above the 50% level, the buyers can explore more of the upside. Above that and the 61.8% at 1.1866 and the higher topside trend line at 1.1905 (and moving lower) will be eyed.
In these markets, it is about reaching targets and managing risk. If the targets are reached, it allows for new risk levels to be defined. If the price action fails, especially on moves against the trend, you have to respect it.
