Nearly completes the down and up lap from yesterday’s high
The GBPUSD peaked at 1.32127 on Friday. Yesterday the price peaked at 1.3208. Today the high peaked at 1.32068.
There have been a number of swing levels going back to June 15 (see red numbered circles) Actually if you go back to May 29th, that level was a swing low that stalled the trend move lower (see daily chart below).
So the 1.32036-164 area is where a ceiling is forming.
We are currently trading back away from that area at 1.3169 and are also moving back away from the 200 hour MA at 1.32917. That is now risk for sellers. The 100 hour MA is down at 1.31359. The 1.31439 may also help to stall the fall (June 20 low).
There is a lot of ups and downs in the pair as traders….trade the range, but the swing area (yellow area) seems to be a risk defining area that is forming a ceiling (it did it yesterday and Friday and once again today). Until that is broken, the sellers against it are happy. The buyers below loom and wait for their turn.
PS England vs Columbia in 4 hours and 30 minutes.