As London traders look for the exits, the GBPUSD has rotated back to the downside. The price is currently trading at 1.2405. The low for the day was at 1.2388 reached shortly after the Israeli attack on Iran. That is also the low for the trading week.
GBPUSD moves away from the 50% midpoint
The subsequent bounce off of that low, took the price of the GBPUSD back up toward its 50% midpoint of the pair’s move up from the October 2023 low at 1.24646. The high price today reached 1.2467 just above that midpoint level before rotating back to the downside over the last two hours of trading. Finding willing sellers nearly 50% midpoint, keeps the sellers more in control.
The price of the GBPUSD has also moved back below an old swing area between 1.24278 and 1.24497. That also increases the bearish bias.
What next?
Get below the low for the day 1.2388 and traders will look toward the 61.8% retracement of the same move higher from the October 2023 low. That level comes in at 1.23635. Move below that level and sellers can probe even lower
With the 50% midpoint holding resistance today, getting and staying above that level is now needed to disappoint the sellers/bears.
Sellers are in control in the GBPUSD.