Price moves back below the 100 hour MA but rebounds
The price of the GBPUSD tried to tilt a bit lower after running above the 100 hour MA (blue line) target and the 50% retracement earlier in the day. The high price did stall at the December 5 swing low.
After the sharp run higher, a retracement is not surprising and the price did move back below the 50% and the 100 hour MA. However, the correction has been modest and there is a risk that the break fails.
What is also a concern for sellers looking for a run back to the downside, is the shorts have been squeezed today. The run higher has stalled near resistance targets, but if the sellers cannot get and stay below the 100 hour MA, the shorts could get squeezed some more with the 100 hour MA and the 1.2700 level a target above.