The BOE has come and gone. The BOE raise rates by 25 basis points. Some expected 50 before the decision. The price of the GBPUSD moved to a new low near 1.2618. That that the price between a swing area between 1.2599 and 1.26238. Buyers leaned then have push the price back to the upside.
That move higher took the price within a swing area on the top side between 1.26815 and 1.26988. The corrective high reached 1.26923.
So overall, the wide range technically is between 1.2600 and 1.2700. The current price trades at 1.2662. The bias remains more to the downside below the 1.2700 level, but the dip buyers were not wrong. There is – and will remain – decent support down to 1.2600 and below that, the 100-day moving average comes in at 1.2578 which is also a major influence technically. However, getting above the 1.2700 is still the minimum that buyers would need to see to gain more confidence.
This article was written by Greg Michalowski at www.forexlive.com. Source