Forex technical analysis: GBPUSD lags but heads higher with the EURUSD

Failed on the move back below the 200 day MA

The GBPUSD has lags behind the quick move higher in the EURUSD but nevertheless is getting its own boost in the last hour. The pair is now back above the 200 day MA at the 1.5446 (this is now risk for traders looking for that bottom to be in), and looks toward the 38.2% of the move down from yesterday's high. That level comes in at 1.54949.

Looking at the 5 minute chart the 200 bar MA on the 5 minute chart is at 1.5491 currently which increases that areas (1.5491-949) importance. A move above that and the 1.5520 will be the next target (50% of the same move lower from yesterday's high).

Looking in the rear view mirror, the break and failure to stay below the 200 day MA today, is the kind of technical failure that should turn a pair around. Unless, the momentum turns around into the close, the daily chart will start to look a little more bullish. So there could be more dip buying (in the upper 1.5450s) as a result.