The GBPUSD moved to a new NY session high as London/European traders exit for the pubs, and the move took the price up to test the 100 hour moving average. That moving average currently comes in at 1.1834. The high price for the US session just reached 1.18326. Sellers leaned against the level and the price is currently trading at 1.1820.
The low price today stalled right at the 3820% retracement of the move up from the preliminary flow. The low started the run to the upside that saw the pair move from 1.1333 to a high price from Tuesday's trade at 1.20276. That is a run of around 700 pips in 4 trading days. The sideways/corrective move to the downside today stalled at the 38.2% retracement which is the buyers some consolation. Get above the 100 hour moving average and they feel more confident of the upside potential.
Summary: Overall, the sellers took the shot with the 38.2% target. Moving below that would have sellers looking toward the 50% and the 200 hour moving average near 1.1680.
However, buyers leaned at the minimum retracement target, and those buyers overwhelmed the sellers to push the price back up to the 100 hour moving average target. There is still work to be done for the buyers to retake firm control.
