GBPUSD chops up and down in trading today. Slides down from the 200 hour MA test yesterday

The GBPUSD GBP/USD The GBP/USD is the currency pair encompassing the United Kingdom’s currency, the British pound sterling (symbol £, code GBP), and the dollar of the United States of America (symbol $, code USD). The pair’s rate indicates how many US dollars are needed in order to purchase one British pound. For example, when the GBP/USD is trading at 1.5000, it means 1 pound is equivalent to 1.5 dollars. The GBP/USD is the fourth most traded currency pair on the forex exchange market, giving it ample liquidity a The GBP/USD is the currency pair encompassing the United Kingdom’s currency, the British pound sterling (symbol £, code GBP), and the dollar of the United States of America (symbol $, code USD). The pair’s rate indicates how many US dollars are needed in order to purchase one British pound. For example, when the GBP/USD is trading at 1.5000, it means 1 pound is equivalent to 1.5 dollars. The GBP/USD is the fourth most traded currency pair on the forex exchange market, giving it ample liquidity a Read this Term is chopping up and down in a confined trading range today. The high for the day reached 1.21387. The low was down at 1.20789. The 60 pip Pip In forex markets, a pip is a percentage in point or price interest point (pip), reflecting a unit of change in an exchange rate. Major currency pairs are traditionally priced to four decimal places – a pip is one unit of the fourth decimal point, or 1/100 of a cent. The exception in this case is the Japanese yen, in which a pip is one unit of the second decimal point. Pips adhere to a rate of change that may be related to a value change in a position of specific currency rates. Forex is traded In forex markets, a pip is a percentage in point or price interest point (pip), reflecting a unit of change in an exchange rate. Major currency pairs are traditionally priced to four decimal places – a pip is one unit of the fourth decimal point, or 1/100 of a cent. The exception in this case is the Japanese yen, in which a pip is one unit of the second decimal point. Pips adhere to a rate of change that may be related to a value change in a position of specific currency rates. Forex is traded Read this Term trading range is much lower than the 177 pip range over the last 22 trading days (around a month of trading). There is room to roam on a break. Be aware of the potential (higher or lower).

Looking at the hourly chart, the lows today have been able to stay clear of the rising 100 hour moving average. That currently comes in at 1.2073. A break below the 100 hour moving average would tilt the technical bias more to the downside.

Recall from Wednesday, the price rise (of the Tuesday low) found sellers near that falling 100 hour moving average (see blue line in the chart above). In trading yesterday, after breaking above in the early Asian session, sellers turned to buyers and that led to a sharp move to the upside on increased buying momentum.

The buying yesterday ended after the price broke above the 50% midpoint (at 1.21799) of the move down from the high last Thursday, and tested its 200 hour moving average (green line in the chart above). Sellers leaned against that key moving average barometer. This time buyers turned back to sellers, forcing the price back to the downside.

Going forward, with the "market" using the 200 hour MA level as a risk defining resistance level, it increases the levels importance going forward. It would take move above to increase the bullish bias from a technical perspective. That moving average currently comes in at 1.2162 (and moving lower).

SUMMARY: So overall, the 100 hour moving average is support for the GBPUSD at 1.2073. On the topside, the 200 hour moving average is resistance at 1.2162. In between keep an eye on the 38.2% retracement of the move down from last Thursday's high (BOE day). That level comes in at 1.2128. IN the North American session today, the price has already seen a stall near that level on a test.Stay below tilts the short term bias in the favor of the sellers.