Reverses back lower
Lets not get too excited but the GBPUSD has been outperforming the EURUSD to the downside today and that means a bounce in the EURGBP. Well, the rally came near the corrective highs from Friday and the 38.2% of the plunge off Draghi on Thursday (at 0.7231 and 0.72259 respectively). The high today peaked at 0.72265.
The fall lower has taken the price back below the 100 day MA at the 0.72087 It also has taken the price below the 50% retracement at the 0,72125 (see chart below). Is the downside back in focus? Looking at the daily chart, the trend has been lower. With the price below both the 50% and the 100 day MA on that chart, a close below those levels today may give traders the 'green light" to lean against it and push for more down below.
