Moves above Monday high and trend line too
Yesterday post the Fed, the GBPUSD traders started to show buying interest at the 1.29927 area (see post from yesterday "Are GBPUSD sellers giving up. It's trying") The 100 hour MA stalled the rally initially (blue line in the chart below) but then was able to break through.
Today, the action higher has continued but in the London morning session there was up and down activity with sellers leaning against the week's highs (at 1.3091).
We have now broken above that area (at 1.3091) and are also breaking above a trend line resistance level (see chart above). The next targets come in against the 1.31134-40 area where the 200 hour mA, the 200 bar MA on the 4-hour chart and the 38.2% of the move down from the Sept 6 high are all found. You can add the low from September 14 at the 1.31375 level too. That is the next key target and with multi technical levels clustered in the area, there should be a stall. Nevertheless, things are looking better/more bullish for the pair. Stay above the 1.3091 old week high to keep the bulls in control.
Comments from BOE Forbes are helping the bullish bias (see Ryan's post here).
