The GBPUSD moved to a low price today of 1.3008. That took the price right below a swing level I had pegged at 1.3010, but above the key natural support at 1.3000. The price has since bounced back up to 1.3054 currently. Recall from last week the swing highs stalled near a swing area between 1.3133 and 1.31868. The high just above that level but quickly rotated back to the downside. That area would need to be broken ultimately if the buyers are to take more control.
Ahead of that on the daily chart watch the 1.30808 level. That was the low on March 8 and was also the high price today.
Taking a look at the hourly chart below, the low price from March 8 and another subsequent swing level up to 1.30878 is actually the next resistance area to get to and through if the buyers are to take more control from the sellers. Also above is the falling 100 hour moving average at 1.31042. Recall from Friday’s trade, that moving average stalled the rally. That hold on Friday, increases the levels importance going forward.
Absent moves above the 1.3080 to 1.30878 and the 100 hour moving average 1.31042 (and moving lower), the sellers are more in control and downside level would look to target levels going back to 2020 from the daily chart and potentially the 50% midpoint of the move up from the March 2020 low at 1.28288 (on the daily chart).
Conversely, moves above those levels on the hourly chart, would give the buyers some hope for further upside probing with 1.3138 followed by the 200 hour moving average 1.31836 as the next upside targets. The swing level between 1.3187 and 1.31945 are also upside targets to get to and through on further upside momentum.
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