50% and 200 hour MA area target support levels
The GBPUSD finally made it above its 200 hour MA today after the 100 hour MA holds on the corrections yesterday and today (blue line in the chart below at 1.2618 now).
The break above the 200 hour MA saw some consolidation between the 50% at 1.2657 and the MA, but eventually, the buyers took more control and pushed toward the 1.2700 area. That level was a stall area back in early December (see red circles) and did the same today. The price is rotating lower.
We are currently looking to retest the 50% at 1.2657. Below that is that 200 hour MA at 1.26378. Watch those levels now for support. What was resistance becomes support.
Overall, patient sellers did get their chance to sell at a key area at the 1.2700. The question for traders now, is do the sellers take more control or do they trade the levels, and look to buy the dip against some prior resistance levels? The good news is the levels are defined.