GBPUSD modestly supported above 50% midpoint
The 50% midpoint of the range since the September 29 low comes in at 1.36224
The GBPUSD move below the 50% midpoint of the range since the September 29 low at 1.36224 during trading yesterday. The low price reached toward a another swing area near 1.36082. The price reach 1.3605 yesterday.
In trading today, the Asian session saw the price move above and below the 50% retracement level and above the low from yesterday as well. European traders took the pound higher and tested swing highs from yesterday near the 1.3666 area. The early US session has seen a rotation back down on dollar buying after the better data, but the price has since moved back toward its high.
There is a bit of a bid in the pair today after selling over the last three trading days. Having said that, getting back above the broken 38.2% retracement 1.3672 is a confirmation followed by a break of the falling 100 hour moving average at 1.36876. It would take a move above each of those to give the dip buyers some added confidence.
The 1.37085 level is also a target level to the upside. Recall the October 18 and October 27 swing lows came in near that level. On Friday of last week, the price broke below on its way to the low on the cycle reached yesterday.