Stalled near the MA last week
The GBPUSD is inching back higher and in the process is approaching the key 100 day MA at 1.30363 level. Last week, the MA was tested on Friday, and fell off (falling further after the stronger employment report).
Today, the pair’s price gapped higher on the Brexit weekend news, but has been trading up and down.
The pair is testing the MA line as I type. The 61.8% of the move down from the October 12 high comes in at 1.30426.
Traders will lean against key levels with risk defined and limited. A break above the 1.30426, however, and expect the sellers to turn to buyers.
If the sellers here can stall the rally, look for yet another rotation back lower with the 1.3000-04 area eyeed as intraday support.