The GBPUSD moved higher on the back of the BOE tightening. The price surged up to a high price of 1.33735. That spike took the price just above a swing area between 1.3351 and 1.33694, but the move quickly stalled and rotated back to the downside. The current price is trading at 1.33408.
It will now take a move above the 1.33694 level to open the door for further upside potential toward the 1.3400 level (a swing area is between 1.3395 and 1.34064. Above that, the 38.2% retracement of the move down from the October 2021 high comes in at 1.34166. That high price reached 1.38337 and trended lower to the low on December 8 at 1.31588 before bottoming and moving higher.
Looking at the 4 hour chart below, the price today moved above its 100 bar moving average on that chart at 1.32739, and got closer to the 200 bar moving average at 1.33806. That moving average has not been broken since November 4 and represents an interim target ahead of the upper swing area near the 1.3400 level.
Buyers are making a play today, but are finding some selling near swing resistance levels.
