The GBPUSD is pressing to new session lows and, in the process, is testing a key swing area near 1.33309. This zone has history — it lines up with the swing high from August 4 as well as the swing lows from September 2 and 3. The session low has just touched 1.3335, putting buyers to the test.
Traders looking to lean against this area may do so with stops placed below. A decisive break would shift the focus toward the 1.3300 level, followed by the August 5 swing low at 1.32594.
On the flip side, if the area holds and balance develops, buyers still have work to do. The first hurdle would be reclaiming the 1.3360–1.3378 zone, which would start to erode seller confidence. Additional comfort for buyers would come only on a move back above the broken 38.2% retracement at 1.33865.
This article was written by Greg Michalowski at investinglive.com.