GBP/USD heads towards a test of the 100-hour moving average
The dollar is firming across the board and extending the trading ranges on the day but notably, cable has fallen from 1.3030 to a low of 1.3015 on the day. Price is now closing in on a test of the 100-hour MA (red line) @ 1.3012 and that will be a key area to watch out for as a break below that will see buyers surrender near-term control of the pair.
There isn’t much headlines driving the dollar move here so it’s mainly flows and positioning as we gear towards the US jobs report that is to come later today. That said, the trading ranges remain rather light with EUR/USD still trapped within a 20 pips range despite falling to a low of 1.1158. Even cable is sitting in just a 29 pips range despite the fall here.
So, unless price starts looking for a significant break, I would expect a bit of back and forth in the European morning before US data comes our way.