GBPUSD rallies above 1.3000, but may need some help from a EURGBP break now...
The GBPUSD has made a run to the upside and moves up to the 1.3021 area. The 200 hour MA is above at the 1.3037 level. The pair has not been above that MA since September 15th. We must be heading there, right?
Well, as reader Tapash Raksmit Topu points out in a comment...
"EUR/GBP testing the trend line.So, I think there will be more supply in GBP/USD around 1.3010-1.3020" (see chart below).
Damn you EURGBP.
So it was a quick trade.
Traders will lean if they can lean. Traders will also break and run a pair. But breaks may also rely on a little help from other pairs along the way (or be stopped by other pairs). If the line is broken in the EURGBP, that run up to the 1.3037 MA line will likely happen in the GBPUSD (it certainly should help). If the line is not broken in the EURGBP, in this up and down market, the GBPUSD may just tire and head the back other way.
The EURGBP effect in full effect.
Thanks Tapash for your comment which goes to show and prove (once again), that we all can help and learn from each other. So put those comments in, and share what you see......