The GBPUSD sellers are taking the price below the 50% midpoint. Can the momentum continue?

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 moved sharply lower yesterday after better UK CPI data. The run to the downside stalled against the 50% midpoint of the move up from the end of June low to the high reached the last week. That level came in at 1.28658.

The subsequent corrective move higher saw the price move back above the broken 38.2% retracement at 1.29309. However, when that level was re-broken today (at 1.29309), sellers leaned against it and pushed the price lower in the European session.

The move lower in the GBPUSD is now taking the price move below the 50% retracement level. Sellers are making a statement. Can they keep the momentum going?

The next target for the pair comes against the swing area between 1.28349 and 1.28486. Move below that level, and the 61.8% retracement of the same move up from the end of June low comes in at the nice round number of 1.2800.