Price action in a number of USD currency pairs in the US morning session has been up and down after the greenback moved lower in European session.
There have been some modest extensions seen in the USDCHF, USDCAD, AUDUSD and NZDUSD.
The GBPUSD can be added to the list of new extensions with its move to a new high in the current hourly bar.
Looking at the hourly chart, the pair squeezed up to a new high of 1.20448, taking out the London morning session high at 1.20393. However, the 50% retracement loomed at 1.20456 and has helped to slow the assent. Sellers were waiting to lean against the level.
That level was also a lower swing high going back to July 8 modestly increasing the levels of importance.
Sellers leaned, and the price has backed off to 1.2023.
What now?
Although, there is a good reason to lean against the 1.20456 level, there is also some decent intraday support on the downside.
Of somewhat significance in the US session is that the low bottomed right near the natural support at 1.2000 (the low reached 1.1999). There are a number of lows on the hourly chart near that level.
As a result, buyers are fighting and creating a support level at 1.2000, while sellers are also fighting at their resistance target at the 50% retracement at 1.20456. That area has declined the trading range in the US session. Traders will be looking for the next shove in either direction.
For a video look at the GBPUSD pair from earlier today, CLICK HERE.
