The GBPUSD remains below the 100 hour MA despite retail sales that were better than expected today (+0.7% vs +0.2% exp).
The 100 hour MA comes in at 1.27357 currently. The highs today reached 1.2732. That was near the high from yesterday and also swing levels from Aug 10 and Aug 13. Since August 2, there has only been 1 hourly bar where the price moved above the MA line (on Tuesday). That was quickly reversed.
For traders, until the 1.2732 and the 100 hour MA can be broken – and stay broken – are the buyers winning? No. Keep that level in mind.
On the downside, in all fairness, the pair is not running lower. the price is currently is at 1.2794 and above the close from yesterday at 1.2794. The London session lows reached 1.2789 and that move did go below a broken trend line, but could not gather much downside momentum. Keep an eye on that level and the London session lows for more bearish clues.
As a reminder, last week the price fell below a trend line and stayed below that line on the rebound on Tuesday. If the price moves above the 100 hour MA, that line will present another challenge for the buyers to prove they can take control. It comes in at 1.2808 currently.