Technical Analysis

Upside quickly rejected today

The GBPUSD tried to go higher.  But after the employment numbers in the London session, gave up and fell back lower. 

The move higher did take the price above a topside trend line and the 100 hour MA (blue line in the chart above), but stalled ahead of Friday’s high and swing low from Thursday.  The price is back below the higher trend line. That line was broken earlier today on the way to the high. The trend line comes in at 1.27745 (and moving lower).  It is a close risk level for shorts now. Stay below is more bearish.  

The low from Friday reached 1.2722. The low from yesterday reached 1.2729.  Another swing low from Friday reached 1.2732. That area – between 1.12722-32 is the next target to get to and through.  A break opens the door for more selling.  

Keeping the bears more in control can be seen on the daily chart as well (see chart below).

On Thursday, the price fell below the lower trend line and has been able to stay below (well for the most part). That line comes in at 1.28245. The high today reached 1.28264 before moving lower.  The price is also back below the swing low from August 2017 at 1.27728.  Stay below both those levels is more bearish.  The June low at 1.2588 is the next target on that chart. 


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