The GBPUSD moved lower in the Asian and early morning European session, but stalled the fall after buyers leaned against a swing area between 1.2674 and 1.2685. The 38.2% retracement of the move up from the May 9 low is also in that area.
The subsequent bounce has taken the price up to retest its 100-bar moving average and 4- hour chart. That level comes in at 1.27384 and will be the chief barometer going forward into the new trading day. Move above and I would expect more upside momentum. For sellers, a rotation back down would require a break below the aforementioned support tested earlier today.
The video will go through the technical levels in play and explain the importance.
This article was written by Greg Michalowski at www.forexlive.com. Source