....Lower highs over the last few days
The GBPUSD:
- Is trading above the 1.1288-90 area. Recall from last week (and beyond) that was a ceiling for the pair. That is more bullish.
- Held against the 100 hour MA on the dip today. Holding and staying above that MA is bullish.
- At the low today, the price stalled near the 38.2% of the move up from the May 12th low. That level comes in at 1.1269. The low reached 1.1265.
The not so bullish (concerning) is that since the break above the 1.1288-90 on Thursday:
- The price has seen lower highs. The high on Thursday reached 1.3047. The high on Friday stalled at 1.30395. We are currently trading at the high for today at 1.3031.
- The price today fell back below the 1.3088-90. Breaking that support level twice today is a concern.
Nevertheless, despite the concerns, I still give the nod to the bulls. Stay above 1.2988-90 would be the close support (risk) for longs now. Stay above the 100 hour MA is a lower risk level for longs. On the topside, if the price can get and stay above the prior highs, the dips will not look "bearish" but simple "corrective".
A move above the high will look toward 1.3085. That corresponds with a topside trend line on the daily chart below.
